Social Security :: American Government, Social Security Deficit

In the past decades, kindly credential establishment has had annual revenue that excesses the amount it pays to beneficiaries. However, U.S. economic system situation has created a long-run effect in more of the public organizations and departments. well-disposed Security presidency is one of many departments that will face some economy issues during U.S. economy recovery. Social warranter will post nearly $600 billion in deficits over the next decade as the economy struggles to recover and trillions of sis boomers stand at the brink of solitude, according to new congressional projections, (Ohlemancher, 2011). The cash that Social Security has save to payout their beneficiaries have an expiration date. In the upcoming years more people will be eligible for retirement, however, many of them will only be pay 78 percent of their benefits, (Ohlemancher, 2011). The presidential term needs to find solutions for the upcoming deficits and be able to help Social Security polit ical science to no run out of funds.Issues In 2011, Social bail administration will collect about 4.6 million retirement, survivor, and Medicare claims. 3.3 million Social Security and SSI claims and 326,000 SSI aged claims, (Social Security, 2011). These claims have to go to procedures that can say months to be approval. During these procedures, many more applicants are eligible to apply for tender protective cover and more funds is pay to beneficiaries. In 2011, social security will collect $45 million less in payroll department that it pays out in retirement, disability and survivor benefits, according to the nonpartisan congressional Budget Office, (Ohlemacher, 2011).54 million people receive retirement, disability or survivor benefits with an average payment of $1,076 a month, (Ohlemacher, 2011). Social Security Administration has being able to save and invest taxpayers money into U.S. treasury department. The money save into U.S. treasury department accumulates int erest for future Social Security beneficiaries. Social Security has built up $2.5 trillion surplus since the retirement program was last overhauled in the 1980s, (Ohlemacher, 2011) The money that Social Security invested in the treasury department is no physically available for social security beneficiaries. The $2.5 trillion has been borrowed over the years by the federal government and pass on other programs. In a promised to pay off the surpluses Treasury department has issued bonds to Social Security, Guaranteeing payments with interest (Ohlemacher, 2011). If the situation gets worst for social security and asks federal government to pay off, theres no focal point that social security will obtain the money because theres no federal funds to pay off the debts to Social Security.