Thanks to COVID-19, Social Security's day of reckoning may be even closer than we thought

I’ve mentioned before that Social Security is now dipping into its reserves—the so-called “trust fund”—to pay benefits. That’s because the system isn’t taking in enough cash from payroll taxes, which is how the gargantuan Social Security program—by far the single biggest source of federal spending—is financed.

Prior to the economic downturn—or collapse—that we’re now experiencing, the trust fund was projected to run out of money by 2035.

This has, practically overnight, gotten worse. Why? Because some 22 million Americans have lost their jobs in the last four weeks. This means there are a lot fewer—millions fewer—people paying those payroll taxes into the Social Security system.

And on top of a lot less money coming in, a lot more will soon be going out. That’s because people who are now out of work and eligible to draw benefits may soon do so, out of sheer economic need.

https://www.marketwatch.com/story/thanks-to-covid-19-social-securitys-day-of-reckoning-may-be-even-closer-than-we-thought-2020-04-15