Last week, we reported recent news that our nation’s Social Security trust fund is set to run out of money by 2035.
Just a few short days later, the Social Security Administration is reporting the trust fund will run out of money a year sooner.
We’ve been told all of our lives to save money, be wise with what we have, and to make intelligent financial decisions whenever the opportunities present themselves.
All advice that we agree with and feel is highly relevant, especially in today’s world.
We wish we were writing this to tell you that this was the only problem we are facing.
Unfortunately, with Medicare’s main trust fund also set to run out by 2026, things don’t seem to be heading in the right direction.
Social Security will fund 78 cents on the dollar while Medicare will fund 91%, according to the report.
For some, a year’s difference doesn’t seem like it would have much of an impact.
However, when you consider that the virus has and still is affecting economies around the world (for how much longer no one knows), the fear is that the date could continue to be changed until eventually, it becomes tomorrow.
According to Forbes, the pandemic caused lost tax revenue and the only way out is for Congress to raise taxes or cut benefits.
In reality, the question we are all asking is where have our tax dollars been going even before the pandemic?
Some sources even claim that the actual date for the depletion of funds will come in 2033.
These programs were designed to provide a source of income and healthcare to those who have worked their entire careers and are ready to retire.
Now, the government’s poor planning has us barely over a decade away from these resources becoming obsolete.
Not to mention that the Disability Insurance Trust Fund is also expected to be depleted by 2057, eight years earlier than in the report published in 2020.
Hardworking Americans have contributed decades-long tax contributions to these programs for the security to recoup their fair share in retirement.
Today, it’s looking like their golden years may not play out as planned.
“Having strong Social Security and Medicare programs is essential in order to ensure a secure retirement for all Americans, especially for our most vulnerable populations.” Treasury Secretary Janet L. Yellen said in a statement.
But the thing is, that’s what Americans were under the impression of already doing.
How much confidence does that leave us with if the answer always seems to be to raise taxes?
We’ve trusted and followed their plans for decades, and we see how that’s going…
Are you ready to create a plan of your own?
Call American Hartford Gold today at 800-462-0071 to learn how thousands of Americans are turning to tangible assets like gold to preserve their wealth.