Social Security In the Future? Maybe Not


It was early spring in the year 2048 and my bithday was coming up this
August 26. I would be turning 70 years and retirring. I am not looking forward
to it as much as I thought. My whole life I dreamed of moving to Florida and
living on the beach when I retired. I planned on traveling a lot seeing the
great sites the country has to offer. All of these plans have changed instead
my yougest son is putting an addition on his house so that I could move in. I
am very thankful for what he is doing, but I really don\'t want to go. I want my
privacy and I\'m sure he wants his too. There is no other choice I worked as
long as I could but I\'m just getting to old. We all agree that I am not going
into a nursing especially me. If the government would have told us that they
couldn\'t solve the Social Security crisis almost 30 years ago I would have
prepared better. But instead they promised they could save it and the program
would still be aruond when I retired. They obviously lied and now I have
nothing. Moments later I hear music its my alarm clock. It was only a dream its
April 1996 and I\'m 18. The article about the Social Security in the paper had
me thinking and I must have a bad dream.
The Presidential election will be coming up this November ‘96 and the
question that many of Americans have on their mind is what are you going to
about the Social Security crisis? This question has our nation divided between
generations. The elder people of our nation (ages 50 and up) feel confident that
Social Security will be there for them and that it should be left alone. On the
other hand the Baby Boomers (ages 31-49) and Generation X (ages 18-30) lack this
confidence fearing that they will never receive Social Security, and the money
they put in would be a waste. Many politicians are afraid to touch this issue
because the elder still make a large number of the voting block. Speaking as a
member of Generation X it is our duty to vote for change in Social Security to
ensure we will have something to look forward to when we retire. We can not
wait any longer to defeat this crisis.
The Social Security crisis is the threat of the Social Security system
going bankrupt. Well its more than just a threat its the reality. The common
belief is that Social Security is a saving fund where the government takes a
certain percentage out of our weekly pay. Then that money is put into a savings
fund where it is held until we retire. When we retire the money is returned to
us in monthly checks plus the interest. This is where we are wrong. Social
Security is a pay-as-you-go system where the current workforce pays for the
present retirees, and then when they retire they will depend on the younger
workforce to pay for them and so on and so on. Which is fine when you always
have more workers then retirees. This is the problem the government will face
when the Baby Boomers retire in the year 2010. In 1950 there were 7.2 workers
for each retiree. Today there are 3.2 workers for every retiree, an by the year
2020 there will only be 2.4 or less for each retiree. By the year 2010-2015
Social Security is projected by the government to pay out more money than it
could take in. Since the current Social Security took in a surplus of $60
billion last year with a projected total to be around $5 trillion they will have
enough money to last another 10 years or so. All in all experts expect that
Social Security will have spent every penny it has by the year 2030.
In actuality the bankruptcy will probably happen about ten years sooner.
See there is a catch to their surplus that not to many people know about. The
surplus is put in to government bonds so that government can use that money to
support other programs and to pay of other debts. Also when the government
figures out the national debt they subtract that surplus to make the national
debt look smaller. The problem will come when Social Security needs that
surplus to support its program and the government has to pay of these bonds.
The United States will go further into