Unless Social Security taxes are greatly increased with a 3%+ permanent tax increase, the social security trust will be totally exhausted in 2029, and benefits will be cut by 25%.
See http://www.zerohedge.com/contributed/2013-12-19/cbo-ss-another-29-crash.
On a related note, Intragovernmental Holdings peaked on 10/29/13 at $4.969 trillion. For many years, more Social Security and Medicare taxes were taken in than benefits paid. Now the situation has reversed and Social Security is in a permanent cash flow deficit. Even if the rest of the government had a balanced budget, this would cause additional debt held by the public to be issued.
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