For decades, Social Security has been the bedrock for many Americans’ retirement plans. In 2021 alone, Social Security paid over $1 trillion to its over 70 million beneficiaries.
However, for over a decade, the Social Security Administration (SSA) has been raking in less revenue than it pays out to its beneficiaries, resulting in the system tapping into its reserves.
This alarming direction is gaining more attention every year and begs the question: what does the future hold for Social Security?
2035 will be an Interesting Year
According to the 2021 Social Security Trustees annual report, Social Security will run out of funds by 2034, upon which benefits will subsequently be slashed by 22 percent. The latest report shows that the Social Security will live to see another year before its trust funds cumulatively run out of money, according to the Social Security and Medicare Board of Trustees report released on June 2. 2022….