Now, in my mid-40s, I hear people my age talking about the same thing, and it doesn't sound like much has changed over the years, except for the date they think the funds will run out. However, a new study suggests it's not just the folks in my immediate circle who don't know what the future of the SSA looks like, as 64 percent of those questioned didn't understand this key component. Keep reading to find out what it is.
When you hear (or read) that the SSA is running out of money, with many experts saying the fund has less than 10 years left, many people don't exactly know what that means. According to a new AARP survey viewed by The Motley Fool, approximately 64 percent of respondents don't know what happens when the account used to fund Social Security payments runs out of money.
34 percent say benefits will be paid at a lower amount36 percent say no benefits will be paid28 percent said that they had no idea what would happen47 percent believe that payments would be cut in half
So who is right? 34 percent of people were correct in their belief that benefits would be paid, but just at a lower amount than before.
What Happens When Social Security Runs Out
According to the Committee for a Responsible Federal Budget, the funds that support Social Security retirement payments could become insolvent as early as late 2032. Meanwhile, the official Social Security Trustees Report places the depletion date just a year later, in 2033. Whichever timeline holds true, the ultimate conclusion is a scary one: if Congress does not intervene, benefits will immediately drop to roughly 72% to 77% of what retirees are currently owed.
Related: Proposed Social Security Change Could Cut Benefits for Hundreds of Thousands of People— Are You One of Them?
Disclaimer: This article is for informational purposes only and does not constitute financial advice.
Hence then, the article about over 60 of americans don t understand this important social security fact was published today ( ) and is available on Parade ( Saudi Arabia ) The editorial team at PressBee has edited and verified it, and it may have been modified, fully republished, or quoted. You can read and follow the updates of this news or article from its original source.
Read More Details
Finally We wish PressBee provided you with enough information of ( Over 60% of Americans Don't Understand This Important Social Security Fact )
Also on site :