Truth Squad: How healthy is the Social Security trust fund?
December 11th, 2011
07:41 AM ET
3 years ago

Truth Squad: How healthy is the Social Security trust fund?

Editor's note: Part of the CNN Republican debate fact-checking series.

(CNN) – The statement: The Social Security payroll tax cut that President Barack Obama is seeking to extend "will cost the Social Security trust fund another $112 billion, and we don't have enough money this year in the Social Security trust fund to put out those checks - which means we have to go to the general Treasury to get the money." - Republican presidential candidate Rep. Michele Bachmann, at Saturday night's ABC News debate in Iowa. She added that the tax cut "blew a hole" in the trust fund.

The facts: The Obama administration says the Social Security payroll tax cut is projected to cost about $112 billion in the coming year. The administration says the money that would have gone to the trust fund would be made up from general revenues, with "no effect on individuals' current or future Social Security benefits."

FULL STORY

Filed under: 2012 • Republicans • Social Security
soundoff (7 Responses)
  1. fred ca

    Dems playing games with Social Security...as usual. Our esteemed leader avoids presenting a status report to Congress as is required by law. For the 3rd year in a row. Meanwhile Senate dem leadership blocks 25+ job bills passed with bipartisan support by the House. And ignorant people pontificate about the 'mean republicans'. And the dems make sure their wall street buddies and contributors get their billions...for activities that would probably get normal Americans arrested for fraud. And the ignorant keep bleating about 'mean Republicans'.

    December 11, 2011 08:09 am at 8:09 am |
  2. John in Colorado

    I thought Palin was the most stupid person to ever run for President. But Bachmann keeps opening her trap and inserting both feet. She is gaining on Palin rapidly for that singular honor. But what should we expect from someone who's chosen profession is helping corporate tax cheats game the system. Not to mention her spouse, who reads scripture to Gays and then bilks the Government for providing them Mental Health treatments. What dishonorable people.

    December 11, 2011 08:09 am at 8:09 am |
  3. Wire Palladin, S. F.

    Social Security has a balance of $2.6 trillion. That must be why the GOP want to privatize it, so Wall Street parasites will be able to get their hands on it. Can you imagine the payoffs the republicans would get? Paul Ryan and every republican candidate is in this for their own gain.

    December 11, 2011 08:19 am at 8:19 am |
  4. Wire Palladin, S. F.

    Can someone enlighten me as to one republican accomplishment that has moved our country forward? Unfunded wars, unfunded tax cuts, unfunded drug programs, unfunded TARP, and other programs that added $5 trillion to our national debt don't count.

    December 11, 2011 08:51 am at 8:51 am |
  5. fred ca

    Let's see 'wire palladin...': TARP, tax cuts, and all your other 'facts' passed and carried by dem congress for 4 years and for 2 years by dem congress and dem president (when they could get him off either the golf course and away from giving billions to his buddies). To blame just repubs (who do share some of the blame) shows a level of bliss that must be at record levels.

    December 11, 2011 09:33 am at 9:33 am |
  6. Rick McDaniel

    In truth......the fund is nothing but figures on paper.......it stopped being separately held, long ago. On the other hand, if there is so solvency in the fund, it can't be separated from the general fund again, as it should be, either.

    Realize that our government converted the fund to pay for any and everything else.........and is now the 4th largest holder of US debt, which is on the verge of being worthless.

    December 11, 2011 09:47 am at 9:47 am |
  7. taxed

    In other words, if we extend the payroll tax cut, Social security will be covered by smoke and mirrors.

    December 11, 2011 09:51 am at 9:51 am |