jonny5
DP Veteran
- Joined
- Mar 4, 2012
- Messages
- 27,581
- Reaction score
- 4,664
- Location
- Republic of Florida
- Gender
- Male
- Political Leaning
- Libertarian
Well, sort of:
So, the government can lend the SS money to itself, spend it, and put the IOU (T bond) back into the SS fund. The result is a pot full of IOUs. There is no essential difference between the fate of money paid via payroll taxes and money paid in the form of income taxes.
Thats what I said. SS money gets spent on SS benefits directly, and any surplus is lent to the govt. SS is not taking in enough right now though, so no money is getting lent. All revenue that comes in through OASID goes right back out to current retirees.