Social Security's Disability Program Will Be In Trouble

[Mr Lee]

Some US citizens on their disability might wish to keep up on these happenings, so I am posting this for them. WASHINGTON (AP) — Laid-off workers and aging baby boomers are flooding Social Security's disability program with benefit claims, pushing the financially strapped system toward the brink of insolvency.

[JJReyes]

In a recent speech, President Barack Obama announced, "Adjustments in Social Security, Medicare and Medicaid benefits are inevitable." Republicans have made similar statements. The move to receive Social Security early, starting at 62 years, is because of the 2008 economic collapse and the fear that future recipients will be receiving less. It's the same with Social Security disability benefits. As more apply, the government will tighten the egibility rules. What is really scaring economists and politicians are the baby boomers, the 77 million Americans born between 1946 and 1964. The first boomers started retiring in 2011 at the statistical rate of 10,000 per day! 25% of the baby boomers surveyed claim that Social Security will be their only income source in retirement. The average Social Security check at the present is less than $1,200. The number of Americans moving to lower cost-of-living countries like the Philippines will increase. This creates business opportunities for Americans who are already in the Philippines. There are no Philippine labor law violations because the money generated is off-shore.

Edited August 21, 2011 by JJR

[Old55]

It's become clear there will be Medicare cuts and an adjustment to SSI. Moving the age to 68 seems reasonable to me, for the record I am 57 years old now so this will directly affect me.

[Bundy]

It's become clear there will be Medicare cuts and an adjustment to SSI. Moving the age to 68 seems reasonable to me, for the record I am 57 years old now so this will directly affect me.

The retirement age has already been moved in Australia. I'm 53 and one of the ones who is right on the "adjustment line". My retirement age is now 67! Somehow i just can't see myself working smallcrops at 67. Better get my act together soon. :cheers:

[MikeB]

It's become clear there will be Medicare cuts and an adjustment to SSI. Moving the age to 68 seems reasonable to me, for the record I am 57 years old now so this will directly affect me.

You're referring to those 2 programs, not SS right? Politicians have been saying this for a long time but don't underestimate AARP. Tip O'Neill rightfully called SS "the third rail of American politics".

[Mr Lee]

Please keep in mind guys that this is social security disability they are saying will go broke in the not too distant future and not regular SS, which I believe they say is funded for another 20 some odd years. Yes they need to fix the whole system but what troubles me is that they might take from the regular SS fund to help the disability fund and that would shorten the time frame that regular SS would be funded for. I just read that salaries are taxed for social security up to about $108,000, so I wonder why they do not just tax salaries all the way up to infinity. I think that might fix the system and without getting into politics, I really do not see an excuse for not taxing salaries all the way up, except those at the top of the food chain would probably never be able to get enough social security payments in their lifetime to equal the taxes they paid in.

[JJReyes]

For 2011, the taxable ceiling for Social Security is $106,800. There is no ceiling for Medicare. What's preventing the removal of the tax ceiling for Social Security is the Republican Party. They are oppose to any new taxes. An interesting tidbit is Social Security benefits are not subject to garnishment under federal law in the event of bankruptcy. Some states like California don't require bankruptcy protection. Bill collectors are not permitted to go after your Social Security benefits.

[Art2ro]

Less government spending is the cure! If the U.S. didn't stick their nose in every war or crisis around the world, more money would be available to spread around to all the other programs of most importance like the underemployed, Health Care Bill for the masses, Social Security and Medicare! I just heard on Fox news, that the U.S alone has already sent $1 billion on ammunition just in 6 months and 6 days in Libya and the UN has performed 7,000+ bombing & support missions in order to protect civilian lives and in support of the rebels! Only year 2012 with a new President, not Obama, may bring some hope or it may not! They are already talking about a 2nd recession on Fox news when the present recession hasn't even yet improved! Go figure! I'll be 63 next month and have been collecting my little Social Security pension with my other 3 U.S. Government pensions and doing OK, but with the COLAs being frozen across the board for the past 2 yrs, it has weaken our dollar buying power here in the Philippines! It's truly sad for all of us in the U.S. and those abroad with this global recession! All we can do is write to our legislatures and see what the outcome may be after the 2012 presidential election! Don't just sit around, be heard by writing to your legislatures, be heard and vote! :cheers:

Edited August 22, 2011 by Art2ro

[JJReyes]

The annual Medicare fraud, waste, and abuse is nearly $40 billion a year. This estimate is not from a liberal or conservative group. It comes from the US GAO (Government Auditing Office). There are also similar fraud, waste, and abuse for Social Security, education and military spending. An example is a close relative dies and the family conveniently forgets to inform the Social Security Administration. It maybe months or years before SSA discovers they are sending money to a dead person. One abuse they have been successful in moderating nationwide is the cost for prescription medication. In Hawaii, pharmacists are required by state law to offer the generic equivalent, unless your doctor insists on a brand name prescription. My wife and I had doctors who wanted us on certain brands that would cost more than $150 for a 3 months supply. We both switched doctors and informed the new doctors as to the reason for the switch. Rather than losing a patient, the doctor and I would search his clinic computer screen for generic medication available at WalMart pharmacy. For one medication it costs $12 for a 3 months supply. Another costs $30 for 3 months.