A new estimate by Congress predicts that the Social Security disability program will run out of money and become insolvent by 2017 – just six years from now. Insolvency would mean that the 13.6 million people who currently receive SSDI benefits would be in danger of losing some – or all – of their support.
What can the United States do to protect against this dire future?
In 1994, Congress reallocated money from the Social Security retirement program to the disability program to protect against insolvency, and a similar action might be necessary now. However, many experts have pointed out that the Social Security retirement program is also facing insolvency, albeit two decades down the road. When funds run out for both programs, officials say incoming payroll taxes will only pay for about 75 percent of benefits.
Why is the Social Security disability program under such stress?
Experts say that a record number of people are applying for SSDI benefits – both as the Baby Boom generation ages and as many desperate laid-off workers look for new sources of income. At the same time, many people who desperately need benefits face a long wait and a complex system.
Policymakers believe that a long-term fix won’t just involve borrowing money from other programs or raising taxes – they think that the programs need major reforms.
Do you need assistance with your Social Security Disability benefits? Speak with a Houston disability attorney today about your needs.
by Carl M. Weisbrod Managing Partner of Morgan & Weisbrod, Board Certified in Social Security Disability Law