April 23, 2012
2012 Social Security Trustees’ Report Released
Today, the Social Security Trustees released their annual report on the financial status of Social Security. The report, issued every year, projects Social Security’s income and outgo for the next 75 years. Once again, this year shows that Social Security has a large and growing surplus.
Last year’s report projected that at the end of 2011, Social Security would have a surplus of about $2.7 trillion, which it now has. This year’s report predicts the surplus will remain at about $2.7 trillion at the end of 2012.
The 2012 report projects that Social Security can payout benefits in full through 2033. After that, Social Security can payout three-fourths of the benefits earned.
All that is needed to keep Social Security strong is a simple adjustment – have everyone pay their fair share. Today, people earning $50,000 per year contribute 6.2% to Social Security. People making $500,000 per year only pay about 1%. If the Social Security tax cap were raised or eliminated Social Security would remain strong for years to come.
The Social Security Trustees Report shows that our Social Security system works just as intended, even in difficult economic times. Unlike the banks, which nearly brought the economy to ruin, Social Security didn’t need a bailout.
Go here for the full report: