what wasn’t taken in to consideration with higher earners is that while after a certain amount of income they don’t pay fica taxes , they don’t get any farther increase in their ss either …
one of the biggest drainers of ss retirement is ss disability..
since the 1970’s the numbers of people on ss disability is up 10x ….
there is so much corruption in ssdi that in 2018 they had to take a huge amount from ss retirement to keep paying ssdi .
one man eric conn was able to put thru a half a billion dollars in claims for people who were not approved for ssdi .
so ssdi is the real killer and it has become the biggest drainers.
All of the disabled are classified into three categories: Improvement Expected, Improvement Possible and Improvement Not Expected.
Someone with a spinal chord injury is classified as Improvement Not Expected, but even so, their case is automatically reviewed every 5 to 7 years to determine if they should continue receiving benefits.
Where you have Improvement Expected, their case is reviewed every 6 to 18 months. It's 3 years for all others.
The number of people receiving OADI benefits actually decreased by more than 1 Million from 12 Million to 11 Million in 2016.
About 3.5 Million of the 10.1 Million on Disability have mental disorders. Of those, 1.5 Million have "Mood Disorders" and the rest are autistic, mentally disabled, have congenital brain defects, head injuries, or are schizophrenic.
Social Security doesn't require the 1.5 Million with "Mood Disorders" to be involved in any treatment program, but they should. They should be required to attend weekly treatment sessions, and if they fail to do so, they need to be terminated.
the numbers of those on ssdi should be dropping by a huge amound since baby boomrs have been shifting from ssdi to ss retirement and they would be coming off the ssdi roll.
but that’s not what’s happening as ssdi became the new unemployment ins over the years.
its true The "stress" was caused by the ratio of workers to beneficiaries.
In 1940, there were 159.4 workers for every beneficiary.
By 1945, that had dropped to 41.9 workers for every beneficiary.
By 1950, that was reduced to 16.5 workers for every beneficiary.
In 1975, there were 3.3 workers for every beneficiary and that's where it remained for 35 freaking years until 2010.
In 2010, the ratio of workers to beneficiaries started to decrease again and it will continue to decrease until it plateaus at 2.2 workers for each beneficiary.
And, that's where it will stay for about 200 years or so.
Social Security is very simple: Revenues = #Workers * Wages * FICA Tax
What did we learn in the 6th Grade?
If we increase or decrease any of the multipliers, the product increases or decreases. Remember your teacher standing at the blackboard showing you that?
I do.
We cannot substantially increase the number of workers, because we'd permanently need 11 Million more workers and you ain't got that and never will.
You cannot substantially increase wages, either. Why? I just told you why. You need 11 Million more workers permanently.
However, you can increase the FICA tax, and you only need to increase it one more time over the next 200 years and you only have to increase it 1.8%-2.2% and the problem is solved forever.
