So basically, this says that the Congress took a frikin' lot of money out of the SS trust fund, and is recording that they're paying interest as they give SS just enough money to work with for that year out of the general fund.

The amounts appropriated by clauses (3) and (4) shall be transferred from time to time from the general fund in the Treasury to the Federal Old-Age and Survivors Insurance Trust Fund, and the amounts appropriated by clauses (1) and (2) of subsection (b) shall be transferred from time to time from the general fund in the Treasury to the Federal Disability Insurance Trust Fund, such amounts to be determined on the basis of estimates by the Secretary of the Treasury of the taxes, specified in clauses (3) and (4) of this subsection, paid to or deposited into the Treasury; and proper adjustments shall be made in amounts subsequently transferred to the extent prior estimates were in excess of or were less than the taxes specified in such clauses (3) and (4) of this subsection.

OK, so the money in the SS budget comes straight out of the general fund. Exactly what I've been saying. Your SS taxes don't go into some mystical bank account. They go straight to the general fund with every other tax. Further, if that's the case, then there would be no money for SS to work with if the Congress didn't give it some from the general fund. Meaning there is no real trust fund, but simply a division of the federal budget called such.

If it gets paid out every year based on that year's income, it isn't a trust fund. It's wealth redistribution, socialism, and that's a totally different concept.

Actually, Sol, I think the link that Jordan provided us with a couple of weeks ago is even more hard core.

[Edit: added a warning so that no more unsuspecting souls accidentally see and read something they don't want to.]

[ September 03, 2001: Message edited by: Siegfried ]