CBO Says Social Security Paying Out More Than it Receives This Year

The Social Security system is going to pay out more in benefits than it receives in payroll taxes this year which represents an important threshold it was not expected to cross until at least 2016 said the Congressional Budget Office. The Obama Administration said that while the Congressional projection would probably be borne out, the change would have no effect on benefits in 2010 and retirees would keep receiving their checks as usual.  As people are applying for benefits sooner than expected based upon the economic downturn, payments are rising as revenues falls due to the fewer payroll checks to tax. 

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