What are the Social Security trust funds, and how are they financed? Q.What are the Social Security trust funds, and how are they financed? A.Social Security trust funds provide cash benefits for the elderly and disabled as well as for their spouses and dependents. They are funded chiefly through payroll taxes. Read more about What are the Social Security trust funds, and how are they financed?
Are the Social Security trust funds real? Q.Are the Social Security trust funds real? A.Social Security trust funds are real and hold real Treasury securities for which the federal government has an obligation to pay. They reflect any accumulated excess of Social Security taxes plus other revenues, such as interest received, over expenditures. At the same time, the trust funds “fund” only a portion of outstanding obligations. The trust funds are invested in special-issue Treasury securities backed by the full faith and credit of the federal government. Read more about Are the Social Security trust funds real?
