Friday, February 18, 2005
TRUSTWORTHYNESS
One of many definitions of a trust is something committed or entrusted to one to be used or cared for in the interest of another. Then I would think one could say that the Social Security Trust Fund is money entrusted to the Federal Government to be used and cared for in the interest of future retirees. Guess what, they used it and forgot to care for it. In addition they (the politicians) work hard to keep the secret. But the word is slowly getting out. A Newsweek article (February 14, 2004 issue) “Social Security A Daring Leap” does point out that “The trust fund is irrelevant. It is an accounting entry, not real money.” It is buried in the article but it is there.
I fail to understand why our politicians continue to refer to the trust fund at all. Those who cling to the idea that the Trust Fund will run out of money in 2042 or even 2052 are truly acting like ostriches and are perpetuating a myth. The Today Show (one of my least favorites right up there with 60 Minutes) had a special on social security on February 17, 2005. They continue the myth. The important date to talk about is about 2018 after which SS payout will exceed taxes collected.
I found a good explanation of how our politicians have spent monies that we are led to believe are safely in trust. Visit the Government Trust Fund and Deficit/surplus Report by Michael Hodges. Thanks Michael.
I fail to understand why our politicians continue to refer to the trust fund at all. Those who cling to the idea that the Trust Fund will run out of money in 2042 or even 2052 are truly acting like ostriches and are perpetuating a myth. The Today Show (one of my least favorites right up there with 60 Minutes) had a special on social security on February 17, 2005. They continue the myth. The important date to talk about is about 2018 after which SS payout will exceed taxes collected.
I found a good explanation of how our politicians have spent monies that we are led to believe are safely in trust. Visit the Government Trust Fund and Deficit/surplus Report by Michael Hodges. Thanks Michael.
