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Essay/Term paper: Social security with baby boomers

Essay, term paper, research paper:  Business

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Social Security



The problem within Social Security is that the ratio of worker"s paying Social Security taxes to retirees receiving the benefits is getting worse. There were 16.5 worker"s for each Social Security recipient in 1950. Today there are only 3.2 workers per recipient of Social Security. According to the "Social Security Legislative Bulletin", According to current projections, in 2030 there will be fewer than 2 workers per recipient.

There are various strategies for changing the Social Security System. One way, according to an article title "Social Security or Social Insecurity", is to increase employment. It states that "We must allow additional Employment Based immigration of young, professional college educated workers who, through their employer contributions will continue to support Social Security." One strategy is to triple the number of employment based immigrants, primarily increasing the number of higher earning priority workers and professionals. They will require that sponsors of new immigrants demonstrate incomes of at least twice the current poverty level, and eliminate loopholes, which allow illegal immigrants to remain in the U.S.

I feel that the trust fund is only a fraud used to mask the size of the federal deficit. Any surpluses are spent immediately on other federal programs. Now the "Baby Boomers" have to depend on the taxpayers, not the fund. "Come 2020, Congress will have to raise taxes to pay off the loans."(N.Y Times, March 1991)

I think that the government definitely has to stop the borrowing of the money to pay for the budget deficit. I feel that the Social Security would be fine if the government would stop borrowing the money.









 

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