Paladin 77
YOU ARE FULL OF BS. This is from the dept of the Treasury;
Old-Age and Survivors Insurance Trust Fund
Updated November 21, 2005
Description of the fund The Old-Age and Survivors Insurance Trust Fund is a separate account in the United States Treasury. A fixed proportion (dependent on the allocation of tax rates by trust fund) of the taxes received under the Federal Insurance Contributions Act and the Self-Employment Contributions Act are deposited in the fund to the extent that such taxes are not needed immediately to pay expenses. Taxes are deposited in the fund on every business day.
The trust fund provides automatic spending authority to pay monthly benefits to retired-worker (old-age) beneficiaries and their spouses and children and to survivors of deceased insured workers. With such spending authority, the Social Security Administration does not need to periodically request money from the Congress to pay benefits.
Funds not withdrawn for current expenses (benefits, the financial interchange with the Railroad Retirement program, and administrative expenses) are invested in interest-bearing Federal securities, as required by law; the interest earned is also deposited in the trust fund.
Establishment of fund The Old-Age and Survivors Insurance (OASI) Trust Fund was created pursuant to section 201 of the Social Security Act Amendments of 1939. These amendments also established a Board of Trustees. OASI became effective on January 1, 1940, and superseded the old-age reserve account established under the Social Security Act of 1935.
Trustees The Board of Trustees currently consists of 6 members, 4 of whom automatically serve by virtue of their positions in the Federal Government. These 4 are the
Secretary of the Treasury (the Managing Trustee),
Secretary of Labor,
Secretary of Health and Human Services, and
Commissioner of Social Security
The other 2 members are appointed by the President, and confirmed by the Senate, as required by the "Social Security Amendments of 1983." These 2 members serve 4-year terms.
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Statistical Tables
Trust Fund Data
Updated February 8, 2007
Old-Age, Survivors, and Disability Insurance Trust Funds, 1957-2006
[In millions] Assets
Calendar
year Total
receipts Total
expenditures Net increase
during year Assets at
end of year
1957 $8,090 $7,567 $523 $23,042
1958 9,108 8,907 201 23,243
1959 9,516 10,793 -1,277 21,966
1960 12,445 11,798 647 22,613
1961 12,937 13,388 -451 22,162
1962 13,699 15,156 -1,457 20,705
1963 16,227 16,217 10 20,715
1964 17,476 17,020 456 21,172
1965 17,857 19,187 -1,331 19,841
1966 23,381 20,913 2,467 22,308
1967 26,413 22,471 3,942 26,250
1968 28,493 26,015 2,479 28,729
1969 33,346 27,892 5,453 34,182
1970 36,993 33,108 3,886 38,068
1971 40,908 38,542 2,366 40,434
1972 45,622 43,281 2,341 42,775
1973 54,787 53,148 1,639 44,414
1974 62,066 60,593 1,472 45,886
1975 67,640 69,184 -1,544 44,342
1976 75,034 78,242 -3,209 41,133
1977 81,982 87,254 -5,272 35,861
1978 91,903 96,018 -4,115 31,746
1979 105,864 107,320 -1,456 30,291
1980 119,712 123,550 -3,838 26,453
1981 142,438 144,352 -1,914 24,539
1982 147,913 160,111 239 24,778
1983 171,266 171,177 89 24,867
1984 186,637 180,429 6,208 31,075
1985 203,540 190,628 11,088 42,163
1986 216,833 201,522 4,698 46,861
1987 231,039 209,093 21,946 68,807
1988 263,469 222,514 40,955 109,762
1989 289,448 236,242 53,206 162,968
1990 315,443 253,135 62,309 225,277
1991 329,676 274,205 55,471 280,747
1992 342,591 291,865 50,726 331,473
1993 355,578 308,766 46,812 378,285
1994 381,111 323,011 58,100 436,385
1995 399,497 339,815 59,683 496,068
1996 424,451 353,569 70,883 566,950
1997 457,668 369,108 88,560 655,510
1998 489,204 382,255 106,950 762,460
1999 526,582 392,908 133,673 896,133
2000 568,433 415,121 153,312 1,049,445
2001 602,003 438,916 163,088 1,212,533
2002 627,085 461,653 165,432 1,377,965
2003 631,886 479,086 152,799 1,530,764
2004 657,718 501,643 156,075 1,686,839
2005 701,758 529,938 171,821 1,858,660
2006 744,873 555,421 189,452 2,048,112 As of December 31, 2006 there is $2.048 Trillion in the Social Security Trust Fund in the form of U.S. Treasury Bonds!
>BR>
What Are the Trust Funds? The trust funds were created in the U.S. Treasury to account for all program income and disbursements. Social Security and Medicare taxes, premiums and other income are credited to the funds. Benefit payments and program administrative costs are the only purposes for which disbursements from the funds can be made.
Program revenues not needed in the current year to pay benefits and administrative costs are invested in special non-marketable securities of the U.S. Government on which a market rate of interest is credited. Thus, the trust funds represent the accumulated value, including interest, of all prior program annual surpluses and deficits, and provide automatic authority to pay benefits.
There are four separate trust funds. For Social Security, the Old-Age and Survivors Insurance (OASI) Trust Fund pays retirement and survivors benefits, and the Disability Insurance (DI) Trust Fund pays disability benefits. (The combined trust funds are described as OASDI.) For Medicare, the Hospital Insurance (HI) Trust Fund pays for inpatient hospital and related care. The Supplementary Medical Insurance (SMI) Trust Fund is composed of Part B, which pays for physician and outpatient services, and Part D, which provides the new prescription drug benefit. Medicare benefits are provided to most people age 65 and over and to most workers who are receiving Social Security disability benefits. Source Dept. of the Treasury!