Democrats are currently attempting to pass a measure that could potentially expedite the depletion of Social Security funds before the year’s end. According to the Congressional Budget Office, this proposed legislation is predicted to incur a cost of $190 billion to taxpayers over the span of the next ten years.
According to EJ Antoni, an economist from the Heritage Foundation, this move could potentially accelerate the insolvency of Social Security by up to 2 years. The estimated cost associated with this proposal stems from the increase in benefits for public sector workers, who already enjoy more generous benefits and higher salaries compared to their counterparts in the private sector.
The speaker highlighted that this approach is not an effective means of boosting Social Security. He emphasized that if the goal is to truly enhance benefits for beneficiaries, it would be logical to prioritize those who receive the least.
Antoni also highlights the financial challenges associated with maintaining the current structure of Social Security. Adding an additional $190 billion to its cost is simply unaffordable. He emphasizes the need for serious structural reforms or the possibility of phasing out the program altogether.
The Social Security system is being exposed for a crucial flaw it possesses. Antoni points out that it functions similarly to a Ponzi scheme, where the funds from new investors are used to pay off previous investors.
According to him, if Social Security were to be shut down, middle-class Americans would actually stand to benefit. The reason being, it would enable them to retain and save their own money.
