At Monday’s debt limit press conference, President Obama claimed: “With respect to Social Security, Social Security is not the source of our deficit problems.” This is simply false. The Social Security Board of Trustees 2011 Annual Report found that Social Security added $49 billion to last year’s budget deficit and is projected to add another $46 billion to this year’s deficit.
FactCheck.org fact checked a similar claim by Senate Majority Leader Harry Reid, D-Nev., earlier this year. Their conclusion:
As always, we take no position on whether Social Security should be changed, either to reduce the deficit or to shore up its troubled finances for future generations. Our job here is simply to establish facts and hold politicians accountable for any misinformation.
Social Security has passed a tipping point. For years it generated more revenue than it consumed, holding down the overall federal deficit and allowing Congress to spend more freely for other things. But those days are gone. Rather than lessening the federal deficit, Social Security has at last — as long predicted — become a drag on the government’s overall finances.