Yet More “Good News” Regarding Social Security Disability
According to data released by the Social Security Administration, the Social Security Disability “Insurance” Fund* operated at a deficit during FY2013 – again. This marks the fifth consecutive year – FY2009 through FY2013 – that the Social Security Disability Fund has run a deficit.
The previous record for consecutive deficit years for this fund was four – FY1962 through FY1965, during the JFK/LBJ Administrations.
In fact, counting FY2013 the Fund has only operated at a current-year deficit for only seventeen years during its 57 year (1957-2013, inclusive) history. Those years were 1962-1965 (4 yrs), 1975-1977 (3 yrs), 1980, 1984, 1987, 1992-1993 (2 yrs), and 2009-1013 (5 years).
In fact, since the Social Security Disability Fund was created, only 3 Presidential Administrations have had zero deficits: those of Eisenhower, Nixon . . . and Bush(43). Every other Administration has had at least one year when the Social Security Disability Fund has operated at a deficit.
However, the Obama Administration is one of only two administrations in US history to have a deficit for each Fiscal Year it has been in power. The only other US Administration to manage that was the Ford Administration – and it only lasted a bit over 2 years, from Aug 1974 to Jan 1977.
Prior to FY 2009, the Social Security Disability “Insurance” Fund operated at a net surplus for fifteen consecutive years – from 1994 through 2008, inclusive. And since FY2008, the Social Security Disability Fund has lost in excess of 53% of its value – in 5 years.
The number of persons receiving Social Security Disability has also skyrocketed in the last 5 years as well – from 7,442,377 at the beginning of FY2009 to 8,936,932 at the beginning of FY2014 (1 Oct 2013). That’s an increase in the number of “disabled” of more than 20% in 5 years.
People simply have not become 20% more susceptible to disability during the last 5 years; neither has the US population grown by 20%. So I submit that something else is happening to cause this massive increase in the number of persons in the US that are “disabled” for Social Security purposes.
My guess is it’s due to something I’d call “jumping on the gravy train”, coupled with a hugely lax and compliant regulatory bureaucracy. But I guess it’s possible I could be wrong.
* – Yeah, the Social Security Administration calls this an “insurance” trust fund – just like it calls the rest of Social Security “insurance”. Bull. Everything they do are tax-supported legally mandatory income transfer programs that transfer money from workers to non-workers. Insurance my . . . eye. (smile)
Don’t believe me? Just keep working but tell Uncle Sam you want to cancel your insurance – then refuse to pay your “premiums”.
Category: "Your Tax Dollars At Work", Economy
“Just keep working but tell Uncle Sam you want to cancel your insurance…”
That would get me arrested — after they quit laughing hysterically.
The IRS jails are full of people who don’t regularly pay their “insurance” premiums
The Obama administration has been moving folks from the unemployment roles to the disability roles when their unemployment compensation ran out. I know one SSD Lawyer (he specializes in this) who stated plainly to me that the docs doing the examinations have been told to “allow” as many as possible through the system, and for SSD Administrative Judges to “liberally” interpret the regulations in the applicants favour.
The reasons for this is to hide the actual number of unemployed in the nation, which, if it counted those moved to the disability roles, along with those who have simply given up looking for full time work, to nearly 20%.
Those sorts of number would absolutely kill this administration, and it’s only because the MSM has been complicit in keeping the story OUT of circulation that it isn’t being shouted from the rooftops.
Funny, but if a private employer had a retirement plan like Social Security, they’d be UNDER Bernie Madoff’s jail cell.
This isn’t about Obama. This is about millions gaming the system and a medical and legal system that benefits when those systems helps them.
http://www.cbsnews.com/news/what-happens-when-the-us-disability-fund-runs-dry/
FrostyCWO: I’d agree, in principle. But the Administration IMO shares some of the blame.
The Administration running the show sets the tone regarding how “easy” or “difficult” getting Federal “giveaways” will be. The current Administration has set the bar for Federal giveaways so low that at times it almost seems stupid to keep working.
That’s a damn shame.
This isn’t really new. It’s been going on since at least 2010.
When people exhausted their unemployment benefits and couldn’t find jobs, they moved to the disability roles. There was an article about that in the Wall Street Journal a few years ago, right around the time the so-called recovery seemed to be taking hold.
Speaking of recovery, the DJIA/S&P500/NASDAQ have all closed at new, record highs this week. Do NOT expect this to last. There is a point where those indicators become top-heavy and drop like stones. This has all happened before, and it will happen again.
Do they even ask for proof of US Citizenship before putting someone on the handouts? I wonder how many illegal aliens are gaming the system right now, as well as other schemes?
How many fingers and toes do you have? Add 6 zeroes to that number. Now you know.
I retired in 2011 due to a concrete, verifiable disability. This year I applied for early, regular Social Security (age 62) rather than disability, not for any noble purpose, but because I was too lazy to fill all out the disability documents. The application website automatically kicked me to the disability section of the application and I had to fill out all the documents anyway (there was no way I could find to cancel out of it) and since I had to do the documentation anyway, I applied for disability retirement and awaiting adjudication.
Interesting reading at the SSA on how to get your SSD done quickly
“Note: We have two initiatives designed to expedite our processing of new disability claims:
Compassionate Allowances: Certain cases that usually qualify for disability can be allowed as soon as the diagnosis is confirmed. Examples include acute leukemia, Lou Gehrig’s disease (ALS) and pancreatic cancer.
Quick Disability Determinations: We use sophisticated computer screening to identify cases with a high probability of allowance”
Of course when you look at some of the medical conditions needed to qualify, about half make sense (double amputation of hands or arms) others seem off (sensitivity to UV light).
http://www.ssa.gov/disability/professionals/bluebook/AdultListings.htm interesting read
It took me 11 months to get my SSDI, that was doing my own paperwork and appeal.
There is pretty much a 100% chance of getting your first claim rejected. They send you to a doctor who may or may not be qualified to evaluate your condition.
The litmus test for employment is if you can be a Walmart greeter, they consider you able to work.
One huge bite out of the SS fund if the amount of people who draw SSI ( supplementary security income). These are usually minors or disabled people who have no means of income. The difference is those that draw SSI have never contributed. It is considered temporary and the person must be evaluated to continue drawing it, plus they cannot have many financial assets.
Social Security Disability Income(SSDI) requires that you be “vetted” It takes a minimum of 10 years of full time work to get this. Once granted, it isn’t revoked unless fraud is dicovered, and your assets aren’t limited.