GOP actions threaten funds
Republicans would like nothing better than for Social Security and Medicare to fail and try to scare us by warning that both soon will go belly up.
When George W. proposed to “save” Social Security by privatizing it, he conveniently ignored two separate studies by the Social Security Administration Trust Fund Board of Trustees and the Congressional Budget Office projecting the fund as then constituted would remain solvent until at least 2042. It wouldn’t “go busted,” as Bush was fond of saying, even then, but would begin paying out more than it would be taking in. Due to Republican malfeasance, today it might go negative a liitle sooner.
Private retirement accounts have actually been available since 1974 in the form of tax-deferred savings accounts. But like other private investments, these are subject to the risks and uncertainties of the securities markets. Where would we be today if our retirement money had been privately invested in 2008?
When Bush got his Medicare prescription drug bill passed, he failed to fund one penny of the costs, thereby assuring an eventual Medicare shortfall. But with a little sacrifice and political will both programs can be made viable for the foreseeable future.