Will Coronavirus Affect Social Security’s Future?
A number of assurances have been published that the U.S. actions taken to contain the so-called “Coronavirus” will not affect the normal flow of benefits to Social Security recipients. But the national economic shutdown and loss of employment resulting from it will most definitely mean less revenue for Social Security from payroll taxes for this year. And less revenue to pay current beneficiaries means that Social Security will be digging deeper into its reserves to pay benefits, which could affect the timing of when Social Security’s reserves are fully depleted. Social Security’s reserves were last estimated to be fully depleted in 2035, but how - or if - the current crisis will accelerate that date is, as yet, an unknown. This Motley Fool article by Sean Williams discusses the impact Coronavirus may have on future Social Security benefits, and what will happen if Social Security’s reserves are emptied sooner.
The potential that Social Security’s reserves may be fully depleted earlier than previously forecast only heightens the urgency for Congress to take action to resolve the long-anticipated financial issues the program faces. AMAC has been at the forefront trying to strengthen Social Security by developing and proposing its Social Security Guarantee. AMAC has been discussing and continues to discuss this common-sense solution with Congressional Representatives in its efforts to protect America’s senior citizens who rely on Social Security. To review AMAC’s Social Security Guarantee, click here.
Click here to read the Motley Fool article about how the Coronavirus may affect Social Security’s future.
This posting is presented for informational purposes only and does not represent legal or financial guidance. Any opinions or interpretations presented are either those of the original author or, in the case of articles authored by the AMAC Foundation, are the opinions of AMAC Foundation staff, originally trained and accredited by the National Social Security Association (NSSA) and certified via the AMAC Foundation. Any links included in the article are valid on the posted date; socialsecurityreport.org cannot guarantee the duration of the links’ validity. NSSA and the AMAC Foundation and its staff are not affiliated with or endorsed by the Social Security Administration or any other governmental entity. To submit a question, visit our website (https://amacfoundation.org/services/) or email us at ssadvisor@amacfoundation.org. Because we are a non-profit organization, there is no charge for these services.