Social Security Trust Fund Tops $2.6 Trillion
i
8 Votes
Well folks, it’s that time of year again.
I decided to take a look at the newer 2011 Comprehensive Annual Financial Report (CAFR) for the Social Security Trust Funds – which is actually named:
“THE 2011 ANNUAL REPORT OF THE BOARD OF TRUSTEES OF THE
FEDERAL OLD-AGE AND SURVIVORS INSURANCE
AND FEDERAL DISABILITY INSURANCE TRUST FUNDS”
You may download this CAFR here:
http://www.ssa.gov/OACT/TR/2011/
Yes… for those of you who don’t know, the Social Security program has a massive investment trust fund that hoards your hard earned money into it every single year, and uses that money to invest in such things as war and occupation of other countries, junk bonds and federal securities – including mortgage-backed securities – and of course national and international banks and investments.
Remember, the main function of government’s taxation program is not to support government operations, but rather to increase the fund balances of governmental funds in order to create and support a massive investment based pool, which is then used for all of the non-taxpayer legal criminal activities that government participates in – what it deems as “non-governmental operations” using what it likes to consider “non-taxpayer money” derived from these investments and their returns. You see, your corporate government figures that any gains it is able to collect from investing your taxpayer money is there’s to keep and play around with at its leisure.
Of course, the Federal government continues to tell the people of America that the Social Security system is in financial ruin, and will be broke by the time many of us come-a-collectin’ in just a couple of decades. They tell us that the evil baby-boomers will strip Social Security bare, and drain the entire program into oblivion.
But I’m here to tell you that this just isn’t true. In fact, it is one of the biggest fallacies ever perpetrated upon the American public. It is a lie hidden in plain sight, just as most government programs and funds have turned out to be.
And so, according to the 2011 CAFR for the Board of Trustees of the Social Security System, the Social Security Trust Funds have a combined total of…
$2.6 trillion dollars.
W-W-What? You heard that right, my friends. Spelled out with all of those pesky zeros in place, that looks like this…
Total assets, December 31, 2010
$2,608,950,000,000
If that were to be displayed in 1 dollar bills, it would be a pile of green notes that, when stacked on top of each other, would reach all the way to the moon… and back!!!
For those of you who didn’t see the ending of “The Great Pension Fund Hoax”, we discovered that the Social Security trust funds had over $2.5 trillion dollars in the 2009 CAFR. In 2006, that figure was $1.8 trillion. That was an investment return of about $700 billion dollars in just 5 short years.
See the full film here, or skip ahead to the last half hour to see this information:
Now, as is usually the case, the government omits this knowledge from its public disclosure of the Social insurance system by simply omitting the pertinent investment portfolio and interest gains from the taxpayer budget report that is spirited out to the public. And it does not mention the word CAFR in any session of government or in any public forum. You will not hear about this report on the nightly news. In short, by hiding this information from taxpayer disclosure, the government is lying by omission. And this sort of malfeasance is taking place in every facet of local, county, state, and federal government.
Now, let’s take a look at what Timothy Geithner and the other Trustees of the Social Security Trust Funds have to say to the public about the state of these funds…
Status of the Social Security and Medicare Programs
A SUMMARY OF THE 2011 ANNUAL REPORTS
Social Security and Medicare Boards of Trustees
--------------------------------------------------------------------------------
A MESSAGE TO THE PUBLIC:
Each year the Trustees of the Social Security and Medicare trust
funds report on the current and projected financial status of the
two programs. This message summarizes our 2011 Annual Reports.
Social Security
Social Security expenditures exceeded the program’s non-interest
income in 2010 for the first time since 1983. The $49 billion
deficit last year (excluding interest income) and $46
billion projected deficit in 2011 are in large part due to the
weakened economy and to downward income adjustments that
correct for excess payroll tax revenue credited to the trust funds
in earlier years. This deficit is expected to shrink to about $20
billion for years 2012-2014 as the economy strengthens.
After 2014, cash deficits are expected to grow rapidly as the
number of beneficiaries continues to grow at a substantially
faster rate than the number of covered workers. Through 2022,
the annual cash deficits will be made up by redeeming trust fund
assets from the General Fund of the Treasury. Because these
redemptions will be less than interest earnings, trust fund
balances will continue to grow. After 2022, trust fund assets will
be redeemed in amounts that exceed interest earnings until trust
fund reserves are exhausted in 2036, one year earlier than was
projected last year. Thereafter, tax income would be sufficient to
pay only about three-quarters of scheduled benefits through 2085.
Source: http://www.ssa.gov/OACT/TRSUM/index.html
Well now, wait a darn minute here! Didn’t the CAFR just state that the Social Security system had a $90 billion dollar increase in capital gains? How then can this budget report state with a straight face that the fund suffered a $46 billion dollar loss?
Ah… this is government’s creative accounting.
But let’s go one step further.
Back to the Comprehensive Annual Financial Report, where it shows on page 36:
Actuarial Estimates
Table IV.A1. – Operations of the OASI Trust Fund, Calendar Years 2006-2020
1) Best case scenario – The fund will increase to
$4.054 trillion dollars by 2020, which equals an investment gain of about $1.4 trillion dollars in just 8 years.
2) Intermediate scenario – The Fund will increase to
$3.671 trillion dollars by 2020, which equals an investment gain of about $1 trillion dollars in just 8 years.
3) Worse case scenario – The fund will increase to
$3.278 trillion dollars by 2020, which equals an investment gain of about $600 billion dollars in just 8 years.
So here the Board of Trustees is telling us in the CAFR (audit) of these funds that they will no doubt increase by at least many hundreds of billions of dollars, while at the same time publicly announcing that the Social Security system is showing a current and a future projected deficit of $46 billion dollars for 2011 fiscal year.
And that, ladies and gentlemen, is the perfect embodiment of how your many governments, be it local, state, or federal, are literally fooling you by the simple act of omission of the pertinent information held within the government audit (the CAFR report) and spoon-feeding the American public a heaping dose of fear-based half-truths sprinkled with a splash of treason, and finished off with a good laugh all the way to the banks (which government owns as majority stock holder of those banks).
And we the people keep feeding the monkeys instead of starving them!
Oh, I’m sorry…
Did I interrupt re-runs of “Dancing With The Stars”?
.
–Clint Richardson (realitybloger.wordpress.com)
–Friday, January 27th, 2012
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment