Written by Dr. Mary J. Ruwart…
Baby-boomers are starting to retire. They expect to receive Social Security since most of them have contributed to the program all of their lives. They expect to receive Medicare benefits, because private insurers have been virtually driven from the retiree market. These two programs alone constitute about a third of the current US budget.
However, Social Security is already running a deficit, creating more inflation as government spends money it does not have. The check seniors receive buys less and less each month, essentially gutting the promised benefit.
As our population grays, we have fewer workers than we did in the past supporting each retiree. In 1950, approximately 16 workers paid the Social Security checks of each retiree; today, fewer than 3 workers do so. Social Security taxes must be raised dramatically to make the system solvent, making it harder for the younger generation to get ahead.