fbpx
Skip to main content
Podcast Episode 324: Is Social Security Going Bankrupt?
Created: September 29, 2023
Modified: September 27, 2023

Podcast Episode 324: Is Social Security Going Bankrupt?

What You’ll Learn:
The topic of Social Security comes up all the time in our office, especially when it comes to its future. Is it heading towards bankruptcy as some suggest, or is this an alarmist notion blown out of proportion? To answer these questions and more, Certified Financial Planner® Heath Grossman joined the podcast to offer his perspective on the much-debated future of Social Security.

The topic of Social Security comes up all the time in our office, especially when it comes to its future. Is it heading towards bankruptcy as some suggest, or is this an alarmist notion blown out of proportion? To answer these questions and more, Certified Financial Planner® Heath Grossman joined the podcast to offer his perspective on the much-debated future of Social Security.

The biggest concern for pre-retirees and retirees is whether there will come a time when the benefits will dry up completely. Heath breaks down the core of the issue on the show, but the increased longevity by Baby Boomers paired with less money coming into the fund has brought about the issue. That’s the reason why projections tell us that it will go bankrupt by a certain date.

That’s the math, but what’s the reality? Politicians will likely leverage this issue during campaigns and a solution(s) will be created before the benefits dry up. There are different ways to solve for the issues Social Security faces. One proposed solution is to raise the full retirement age, which would effectively be a benefit cut without directly calling it one. Another suggestion is the introduction of means testing, which could reduce benefits for those with significant retirement savings.

So much of this is out of our control but there are some things that are within our control. Heath emphasized the need for younger generations to start taking their retirement into their own hands by saving diligently in retirement accounts and building up a nest egg for the future. And for those that are approaching retirement and getting ready to take Social Security, sit down with a financial professional and put a plan in place. Don’t react to the headlines by taking your benefits as soon as possible because that might not be your best option.

The future of Social Security may seem complex and fraught with challenges, but it is far from a lost cause. To wrap up the podcast and the conversation today, it is crucial to start planning for retirement early, base Social Security collection decisions on individual retirement income strategies, and stay informed about potential changes and their implications.

Remember, it’s about navigating the twists and turns of Social Security’s future, not fearing them. If you want to learn more about Social Security and the strategies you need to be considering, reach out and get one of our Social Security Decision Guides for free.

Here’s what you can expect to learn in this episode:

  • While it’s not necessarily sensationalized, Heath doesn’t believe it will go bankrupt.
  • How Social Security pays out its benefits and why the fund is running out.
  • Don’t let this concern lead you to take your benefits as soon as possible for that reason only.
  • What are some of the things that could be done to fix the problem?
  • Should you be prepared for the Medicare age to rise as well?
  • What are the things we can control related to planning and Social Security?

Information presented in our podcasts is considered current as of the created date. Over time, some information presented may become stale. We recommend you consult with your Financial Professional before making any changes based on information contained here.

Johnson Brunetti is a marketing name for the businesses of JB Capital and JN Financial.

Investment Advisory Services offered through JB Capital, LLC. Insurance Products offered through JN Financial, LLC.
The guarantees provided by any type of insurance contract are based on the claims-paying ability of the insurance company.

Resources by Topic

Subscribe to Our YouTube Channel

Share

Related Resources

  • Answers to Key Social Security Questions

    The decisions you make about Social Security can have lasting implications, which is why it’s important to get your questions answered sooner rather than later. If you’re unsure about how to maxim…
  • What Updates Can We Expect for Social Security in 2025?

    A new year means new rules for retirement plans. Let’s start with one of the largest sources of income for millions of retirees: Social Security. What changes can we expect in 2025? Heath Gross…
  • Frequently Asked Social Security Questions

    Almost every American is impacted by Social Security in some way, so it’s no wonder that it’s one of the most frequently asked topics in retirement planning. When and how you start taking benefits…
  • Maximizing Your Social Security Income

    Social Security can serve as a safety net for many retirees, sometimes acting as a primary source of income. However, the program is highly complex with over 500 ways to claim benefits. Even one o…
  • Social Security Review: How to Get it Right

    Social Security may be just one piece of the puzzle, but the decisions you make about when and how to claim your benefits can be crucial to the stability and strength of your overarching retiremen…
  • Your Retirement Income Planning Checklist

    As you approach retirement, your financial objectives shift from accumulating savings to generating income for the rest of your life. Even if you’ve been a diligent saver, achieving that goal requ…
  • Your Retirement Questions, Answered

    At Johnson Brunetti, our valued listeners and viewers frequently reach out seeking guidance on a variety of retirement planning needs. Today, financial advisor David Shapiro joins Better Money Bos…
  • Podcast Episode 384: Is It Worth Moving to a State with No Income Tax in Retirement?

    Many retirees make the decision to move in retirement but should no income tax be main reason for relocation? While it might save you money in taxes, the move might not benefit you as much as you …
  • Podcast Episode 394: Do You Need to Update Beneficiaries After Getting Remarried?

    With more people getting divorced later in life, blended families are common, and it leads to additional conversations involving planning. One of the things that need to be addressed when someone …
  • Podcast Episode 393: When Should You Use Donor-Advised Funds?

    A key aspect of planning is finding ways to be as efficient as possible with your money and one great example of that is charitable giving. It’s something that many people care a lot about and if …
    Back to top
    Our Locations
    Johnson Brunetti
    Welcome to Our New Website!
    Everything was designed with you in mind, making our retirement planning resources more easily accessible to you.
    Check out your new resource center, where everything can be organized by article type or topic
    Are you ready to speak with a financial advisor?
    Skip to content