Most of the information in this section comes from the 2006 Social Security Trusties report - "Summary of Reports" available in the website identified below. Click the Blue underlined Text
U.S. Treasury - Office Of Economic Policy - Social Security Reports
Trustee's Report shows Social Security is fine until 2042
Medicare and Medicaid Costs are the issue.
See Solvency Tab at left
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Social Security has two main components: 1) is a intergenerational program that provides a minimal subsistence in the area of Retirement (including surviving spouse) for parents and grandparents 2) Disability Insurance providing a minimal subsistence.
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We have been paying into it building up a surplus (Trust Funds based on the Full Faith and Credit of the United States Government). President Bush in a flippant moment said these are worthless IOU's. |
To use the Trust Fund for other purposes is equivalent to Fraud, Embezzlement or Stealing
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Terminology |
Trust Funds - US Treasury Deposits to account for program income and disbursements
OASI - Old Age and Survivors Insurance
Retirement and Survivors insurance - If working spouse dies, at home partner still qualifies for benefits at retirement.
DI - Disability Insurance
HI- Hospital Insurance (Part A - Medicare)
SMI - Supplementary Medical Insurance: Part B - Physician and outpatient services, Part D - Drug benefits
Revenue Sources - Page 2 of Trustee Report
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OASDI (% of Salary capped at $97,500) |
HI (% of Salary ) |
TOTAL |
SMI (Parts B & D) |
| Employee's |
6.2% |
1.45 % |
7.65% |
75% Funding from General Revenues and the rest from monthly recipient premiums . |
| Employer's | 6.2% | 1.45% | 7.65% |
Part B - $93.50 / month Part D - $27.35 / month |
| Total | 12.4 % | 2.9 % | 15.3% |
Revenues & Outlays (Billions) for 2007
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Designation |
Description |
Income |
Outlays |
Surplus to Trust Fund |
Admin Costs |
| OASI | Old Age & Survivors | $676. | $492 | $181 | .7% |
| DI | Disability Insurance | $107. | $102. | $5. | 2.5% |
| HI | Part A Hospital Insurance | $242 | $208 | $15 | 1.5% |
| SMI | Part B Physician and outpatient | $188 | $180 | ? na | 1.6% |
| SMI | Part D Drug Benefits | $50 | ? na | 1.6% | |
| Medicaid - Indigent | Gen Fund | $190 | |||
| SCHIP - State Children Insurance Program | Gen Fund | $6. | |||
| Total |  |