Social Security Cuts Are on the Table -- But There Are Options to Prevent Them
Social Security is one of the most important sources of income for American retirees, but the program is in serious financial trouble. In fact, according to the most recent trustees' report, the combined trust fund for Social Security retirement, survivor, and disability benefits is likely to run short in 2035. This could lead to an across-the-board benefits cut of 21% because the program will only be able to pay benefits out of payroll taxes currently being collected when the money runs out.
Slashing benefits so much would be devastating to those who depend on their Social Security checks -- and it's not likely politicians will let such big cuts happen. The good news is, there are multiple ways to avoid this dire outcome, including these two proposed solutions that have long been under discussion.
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Source Fool.com
