Hi Larry - If the Social Security Trust Fund runs out of money around 2034, would any resulting cut in benefits also apply to current Social Security recipients, or are they legally protected from benefit cuts? I.e., would the cuts only apply to new enrollees?

Thank you

Larry, what is gonna happen if social security runs out in 2034 and I am still alive, needing it? Should I withdraw it all and invest it? Sarah

I'm 40 years old and have no retirement plans setup.

Looking at the present economic and political situation here do you think SSN will be still available when I retire??

Hi,

Hi Larry, this following notation is printed on my latest SS statement " Your estimated benefits are based on current law. Congress has made changes to the law in the past and can do so at any time. The law governing benefit amounts may change because, by 2034, the payroll taxes collected will be enough to pay only about 79 percent of scheduled benefits."

My FRA will be at 67 at 2027, how can I maximizing my benefit if retiring at 70? How does this statement impacts to your calculation and secrets in maximizing ss . Thanks, Rachel

Dear Rachel,

Hi Larry,
I am familiar with your work on unfunded entitlements in general but not in detail. I have heard it said that those predicting the worse case for SS pension system itself, as opposed to Medicare, are proponents of privatization so they deliberately apply worst case economic growth projections for decades into the future - hence the need to privatize and get better returns in the markets. All this ignores, of course, that the stock market is not likely to perform well either if the economy grows 1% per year for 30 years.