According to the San Francisco Chronicle, if you can believe the federal government, Social Security needs an overhaul but it’s future is far from dire.
“The fact that the costs for the program will likely exceed tax revenue this year is not a cause for panic but it does send a strong message that it’s time for us to make the tough choices that we know we need to make,” Commissioner of Social Security Michael J. Astrue said in an August 2010 news release that accompanied the Social Security’s Board of Trustees annual report on the Social Security program’s outlook.
The Bottom Line
Social Security can be a politically charged discussion but the best way to protect yourself from these problems is to make sure you are adequately funded for retirement. Figure out how much money you need to live the way you would like and prepare for that now. Don’t rely on the government to provide it for you, because the jury’s still out on whether it will be able to do so. (For related information, also take a look at 10 Common Questions About Social Security.) See report here: