Actuaries are usually realllllly good at their jobs and get paid the big bucks. They calculate what needs to be contributed NOW and over time in order to provide a certain benefit at a later date. Unexpected blips in birth rates that last more than a year or two can create temporary windfalls and shortfalls. The Baby Boom was the largest of the blips we've ever seen. WHILE IT WAS HAPPENING, the actuaries knew full well that the piper would need to be paid but it wasn't until the 80's that the public became aware of the issue. There have been at least three PERMANANT fixes to ensure that there was enough money in the SS "fund" to cover the shortfall (payouts exceeding current income) when the time came. But, none of that money is actually "saved". There is absolutely NO reason that the first fix didn't actually fix the problem. We should never have needed TWO MORE. The actuaries knew the goal and calculated what needed to be collected so what happened? The excess money collected has gone into the general fund since the seventies and that means that the SS payments aren't coming from some lockbox as was envisioned, SS payments come from the general fund and the amount being collected every year from current contributions will no longer cover the payments in a few years. But, if Congress hadn't stolen my money, the excess the IRS collected to cover the projected shortfall should be coming from the lockbox but the lockbox is empty.
The Baby Boomers are now starting to die off. I am at the bleeding edge of the boom which lasted about 10 years. You should all be asking the government if they are planning on reducing current contributions by you youngsters when the blip is gone. The idea of SS was that the population would grow over time so that once the system was flowing, there would "always" be more current contributors than people at the end of the line collecting. The Baby Boom after WWII upset that ratio for a limited period of time and the excess contributions we were all asked to make since the 80's was supposed to stop the problem. Congress stole the money so we are currently in the bubble. All the Baby Boomers should currently be collecting SS and we don't have quite enough current contributors to cover the outflow. How is that my problem? Why are we not docking the pay of the Congress who created the problem?