Seniors

Newsweek - Retirees could face thousands of dollars in cuts to their Social Security benefits if the fund becomes insolvent, the Committee for a Responsible Federal Budget (CFRB) warned. The Social Security Old-Age and Survivors Insurance (OASDI) trust fund is projected to be insolvent by 2033. Currently, the Social Security program is facing a deficit as it pays out more in benefits than it receives in payroll tax and other revenue and has therefore been relying on its reserves to cover the remaining costs of benefits. The looming cliff, which is only a decade away, means the program is faced with either drastically cutting benefits by 21 percent or raising Social Security taxes by 25 percent—or a combination of both if Congress does not take action before then, according to the American Academy of Actuaries