You are viewing an obsolete version of the DU website which is no longer supported by the Administrators. Visit The New DU.
Democratic Underground Latest Greatest Lobby Journals Search Options Help Login

Reply #51: In 2010 Social Security (OASDI) income was $781.1 Billion, & outgo was $712.6 Billion, [View All]

Printer-friendly format Printer-friendly format
Printer-friendly format Email this thread to a friend
Printer-friendly format Bookmark this thread
This topic is archived.
Home » Discuss » General Discussion Donate to DU
Laluchacontinua Donating Member (277 posts) Send PM | Profile | Ignore Mon Oct-31-11 01:43 AM
Response to Reply #26
51. In 2010 Social Security (OASDI) income was $781.1 Billion, & outgo was $712.6 Billion,
Edited on Mon Oct-31-11 01:47 AM by Laluchacontinua
leaving a surplus of $68.5 BILLION. Of that $781.1 BILLION, $661.3 BILLION came in from DEDICATED OASDI payroll taxes & DEDICATED taxation of OASDI benefits.

Those DEDICATED taxes covered all but $51.3 billion of the checks mailed to SS recipients. The remainder was covered by:

1) Yearly interest payment of $117.5 billion on the approximately TWO TRILLION DOLLARS in the Trust Fund. Which represents THIRTY YEARS OF OVERPAYMENT OF PAYROLL TAXES.

2) Scheduled redemption of Trust Fund bonds = $2.4 BILLION.

Divide the 2010 cost of $712 billion by 12 and you get $59 billion a month. 15% of that (the portion of total SS income coming from interest & bond redemptions) = $8.85 billion, a piddling amount.

The article you posted is designed to scare and confuse people. The idea that a $134 billion dollar shortfall would necessitate cuts to Social Security, Medicare, Medicaid, etc. (all of which are self-funding but for Medicaid) -- or that if those programs weren't cut, nothing else the government does would happen -- for want of $134 billion -- is ridiculous.

The 2010 US budget excluding SS & Medicare, was about 1.8 TRILLION. To run a headline stating that SS checks won't be mailed out if the debt ceiling isn't raised, to focus on self-funded social programs when there is a DEDICATED income stream for those programs and only a miniscule part comes from general revenues -- is pure propaganda.

1) SS is self-funding.
2) There were nearly $2 trillion worth of things which could be cut that are NOT SS and were NOT self-funding. To wit:

The portion of SS coming from general revenues (as interest) for one month is slightly more than the cost of one Tomahawk missle (at $6.8 billion a pop.)

Why didn't the headline read: "Government contractors' pay will have to be cut..."

Because THAT, & interest payments to rich people, are the biggest items in the ACTUAL federal budget. SOCIAL SECURITY IS SELF-FUNDED.

Printer Friendly | Permalink |  | Top

Home » Discuss » General Discussion Donate to DU

Powered by DCForum+ Version 1.1 Copyright 1997-2002
Software has been extensively modified by the DU administrators

Important Notices: By participating on this discussion board, visitors agree to abide by the rules outlined on our Rules page. Messages posted on the Democratic Underground Discussion Forums are the opinions of the individuals who post them, and do not necessarily represent the opinions of Democratic Underground, LLC.

Home  |  Discussion Forums  |  Journals |  Store  |  Donate

About DU  |  Contact Us  |  Privacy Policy

Got a message for Democratic Underground? Click here to send us a message.

© 2001 - 2011 Democratic Underground, LLC