Jack Lew Says Social Security Will Run Short of Income During Next Presidency

According to CNBC, former U.S. Treasury Secretary Jack Lew said Social Security will run out of enough income to fully pay benefits during the next presidency, warning that Congress should begin discussing reforms before the program’s finances worsen. Lew said the trust fund used to help pay retirement benefits may be depleted in the fourth quarter of 2032, when 78% of benefits would still be payable, while the combined retirement and disability trust funds could support full benefits until the third quarter of 2034, when 83% of scheduled benefits would be payable. He said lawmakers may need to revisit the wage base and consider whether payroll tax revenue will be sufficient, and he criticized proposals to invest Social Security funds in stocks, saying he is not a fan of the U.S. government owning private businesses.