Will SSDI funds cease to exist? No, this is not possible. When you pay money to the FICA fund (Federal Income Contribution Act) the money gets divided into two parts. One part is for Social Security Disability and the other is for Social Security Retirement.
There seems to be a lot of confusion around the diminishing funds for Social Security Disability. The truth is, what you may be reading about in the news is that the government is discussing combining the Social Security Disability fund and the Social Security Retirement fund together. This is a logical course of action. What would happen in this scenario is that when one of the funds runs short of money the other fund transfers money to the fund that has a shortage.
The problem with this solution is the transfer of funds has to be approved by Congress. Then Congress uses this as a political issue. One party threatens to not approve the transfer unless the other party agrees to concede to some unrelated political issue. They threatened to stop the payments to the disabled. It is the same game Congress plays when they close down the government.
In 2016 there is supposed to be another transfer of money from the Social Security Retirement Fund to the Social Security Disability Fund. In the past there have been transfers the other way, from the Social Security Disability fund to the Social Security Retirement fund. I think we are going to hear about reducing Social Security benefits, or the biggest lie of all, that the fund is running out of money. All we have to do is require people to pay tax unto the amount of money that Congressmen make. Then the funds would never run out of money. Instead what Congress does is allot a tax break to those who make above a certain amount of money. If everybody doesn’t pay the same percentage of their income for FICA of course we will eventually run short of money. We need to tax everybody the same amount of money to ensure a shortage doesn’t happen.
To solve the problem of the transfer of funds next year take action. When Congress says we need to reduce the amount of money being paid to people for Social Security because we are running out of money, contact your congressman and tell him/her to either vote for the transfer of funds or better yet to combine the two funds together. Help to ensure the longevity of Social Security Disability benefits.
Are you unclear about the process for obtaining social security disability benefits and need the help of an experienced professional? Consider the Law Office of Attorney Neil H. Good for our SSDI case. Contact our office online for a free case evaluation or call #866-352-5238