What president put social security into the general fund?
IT WAS not Lyndon Baines Johnson WHO TOOK OUR MONEY AND PUT IT INTO THE GENERAL FUND. HE did not steal OUR MONEY AND NOW WE HAVE MONEY LEFT AFTER WORKING 60 YEARS WITHOUT THE ABILITY TO HAVE A VOTE ABOUT IT. WE NOW GIVE THE MONEY TO PEOPLE THAT HAVE NEVER PUT A DIME INTO IT AND ARE NOT EVEN CITIZENS OF THE U.S.A. THANK YOU Republican CONGRESS FOR DESTROYING US.
8 people found this useful
Roosevelt used SS funds to build the Atomic Bomb, Truman used SS Funds, Eisenhower used SS to build the Interstate and Kennedy and every President since has used SS Funds. The… so called Social Security Trust Fund exists in name only, and they are comingled with the general fund. . The above is an over-simplification of the SS Fund. Money collected for SS goes to the SS Administration, which uses the proceeds to pay out current claims, then looks to put the surplus funds into some place to save it for future use. The safest place to invest such money turns out to be U.S. Treasury bonds - thus, the SS Administration goes to the bond market, and buys US Treasury bond. These bonds are a U.S. Government "I.O.U." to the holder, to pay them back their principle, plus X amount of interest, 30 years (usually) in the future. Thus, the funds' AREN'T co-mingled, or "raided", or otherwise. Rather, the SS Administration is the largest creditor of the U.S. government; the impact of this is that Congress has become lazy, being seduced by the easy availability of credit (as they can count on the SS Administration to buy any U.S. Treasury bond that Congress has them float to pay for projects). The concern is that the normal U.S. budget (which does NOT include the SS fund) has failed to account for the fact that the SS Administration is lowering its purchase of bonds (as the yearly expenditures of the SS go up while SS revenue goes down, due to demographic changes), and that the SS Administration will shortly begin to actually cash in bonds (i.e. expecting money back). The normal U.S. budget hasn't taken into consideration that the SS Administration won't be a huge creditor anymore, and, in fact, will begin to "pull out" money from the U.S. government, rather than invest in it. The above is complex, but, the reality is that the actual SS fund ISN'T directly being raided for anything. Rather, the normal U.S. budget process has become addicted to the easy credit that the SS fund has provided. As a side note, the time period where the SS annual expenditures outweighs annual revenue is coming soon - likely sometime around 2023. However, the actual Fund itself still has significant savings at that point, and it will take about another 15 years before the fund is actually "broke" (i.e. has redeemed all the U.S. bonds it has, and still expenditures outweigh revenue).
It never was. The way the funds were accounted for changed in 1969, but the funds from the Social Security trust have never been moved into the general fund. The practice of a…ccounting for the funds reverted back in 1990. The social security funds have NEVER been moved into the general fund. In 1968/69 the trust fund was added as item accounted for in the budget, but it was not made part of the general fund nor available for anything other than social security. This practice was eventually phased out in 1990. Another item that has caused confusion for some people is the way the funds are invested. Again though, the trust is not made part of the general fund and is guaranteed by the Fed, and redeemable at any time at face value: "By law, income to the trust funds must be invested, on a daily basis, in securities guaranteed as to both principal and interest by the Federal government. All securities held by the trust funds are "special issues" of the United States Treasury. Such securities are available only to the trust funds. In the past, the trust funds have held marketable Treasury securities, which are available to the general public. Unlike marketable securities, special issues can be redeemed at any time at face value. Marketable securities are subject to the forces of the open market and may suffer a loss, or enjoy a gain, if sold before maturity. Investment in special issues gives the trust funds the same flexibility as holding cash." For more information, see Sources and Related Links, below.
Social Security was a program that was part of President Franklin Roosevelt (Democrat) New Deal program. It was done so that the aging would retire and give younger people a c…hance to enter the work force. This part of the New Deal program wasn't approved by Congress until two years after Congress passed the first New Deal
A list of presidents that borrowed from the social security fund and what they borrowed the money for or what they funded with it?
No President has borrowed money from Social Security. Only Congress can authorize borrowing money. Art. 1 Sec 8- The Congress shall have Power To lay and collect Taxes, Duti…es, Imposts and Excises, to pay the Debts and provide for the common Defence and generalWelfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States; To borrow money on the credit of the United States;
He didn't. By law, Social Security funds are deposited into the Social Security Trust Fund and cannot be deposited into the general fund. To add to my colleague's succinct a…nswer, here's a long version: Workers pay into the Social Security Trust Fund through a separate tax structure, and the money collected is invested in financial markets. If the Trust Fund runs a surplus from these collections (combined with interest earned from investments), the extra money can be given to the General Fund of the Treasury, in exchange for federal government bonds. Therefore, money isn't "taken out" of the Independent Trust Fund, but loaned to the Treasury. At the end of 2010, Social Security had a $2.6 trillion dollar surplus, which given current policy, will continue to grow until the year 2022. After 2022, the fund will decline until it is exhausted in 2033. The General Fund *cannot* be "raided" by the Treasury; the Treasury can only borrow money, which it has an obligation to pay back (plus interest). Since this borrowing happens all the time, and the borrowed money is used for a variety of purposes, one party or the other will often claim that money has been "stolen" from seniors. This actually means that the Treasury is paying for something the complaining party doesn't like. Since there's always something one party thinks shouldn't be funded, and Social Security is such a potent political issue, politicians will continue to claim that funds were stolen, even though this has never happened.
it was never transferred to the general fund.
It was George Bush, don't you know?
The Social Security Trust Fund was established in 1939 to receive monies collected for Social Security through payroll taxes. The monies in this fund are managed by the Depart…ment of the Treasury; they are not, nor have they ever been, put into the "general operating fund." However, the Social Security Act specifies that the monies in the fund may "be invested in securities backed by the full faith and credit of the Federal government," such as treasury bills, treasury notes, and treasury bonds, as well as special issue bonds. So, essentially, the government can "invest" Social Security funds by lending them to itself, then spending that money on programs not related to Social Security (e.g., defense, foreign aid, education). This has always been the case. During the Johnson administration, Social Security and other Federal programs that operate through trust funds were counted officially in the budget. This did not mean that it was actually part of the general fund, rather that it was finally recorded as part of the budget.
President George W. Bush. His son, the other President Bushborrowed severely from the social security fund and brought us towhere this country is today. . Actually SondraC, G…eorge W. Bush was the son. The father wasGeorge H.W. Bush. Congress was responsible for borrowing againstthe surplus. . There has never been any money in the Social Security TrustFund. The law prohibits the government from keeping cash layingaround. There are only IOU's I the Trust Fund. This is becauseCongress immediately borrows the surplus funds and replaces themwith Treasury Notes that have a rate of about 3%. Sometime after2009, not sure what year, Social Security was no longer bringing ina surplus. It may be drawing against the bonds now, but I wouldhave t check that out.
When you are running a $19 trillion deficit, there is no general fund. The Social Security money is gone.