News Summary: Social Security changes tough

Published August 20, 2012 4:35pm ET



DEMOGRAPHICS: Social Security’s finances are being hit by a wave of demographics as millions of baby boomers reach retirement, leaving fewer workers behind to pay into the system. About 56 million people get benefits today; that is projected to grow to 91 million in 2035.

DWINDLING SURPLUS: The system’s surplus, now valued at $2.7 trillion, will be gone in 2033. At that point, Social Security would only collect enough tax revenue each year to pay about 75 percent of benefits, unless Congress acts

TOUGH CHOICES: The program could be preserved with modest but politically difficult changes involving the Social Security tax used to pay into the system, or the benefits paid out, or both.