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Social Security Feels Pinch As Baby Boomers Clock Out For Good

Social Security Feels Pinch As Baby Boomers Clock Out For Good

Here’s Adam Bergman’s latest Forbes.com article

About 10,000 Baby Boomers turn 65 each day. A Baby Boomer is a term that denotes a person who was born between 1946 and 1964. The Baby Boomer represents nearly 20% of the American public. The large numbers of Baby Boomers turning 65 each year could have a direct impact on the future of the Social Security system for Millennials.

The increase in the number of Baby Boomers retiring each day is expected to have a direct impact on the number of available workers in the U.S. workforce as the Social Security program is primarily funded by payroll taxes assessed on wages in the United States. The increasing number of Baby Boomers leaving the workplace along with historically low U.S. birth rates could very well impact the future of the Social Security program.

The figures are the latest signal that the U.S. safety net for seniors will become even more strained for cash. Earlier this month, the trustees for Social Security said the Social Security program’s cost will exceed its income this year for the first time since 1982, forcing the program to dip into its nearly $3 trillion trust fund to cover benefits. In addition, state pension funds had $2.6 trillion in assets to cover liabilities of $4 trillion in fiscal 2016, according to an April analysis of the most recent publicly available data by the Pew Charitable Trusts

Click here to read the full article @ Forbes.com.

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Posted in 401(k), IRA Category