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Yet Another Scandal: IRS Publicly Posts Thousands of Social Security Numbers Associated with Political Tax Exempt Groups

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Photo Credit: APThe IRS mistakenly posted the Social Security numbers of tens of thousands of Americans on a government website, the agency confirmed Monday night. One estimate put the figure as high as 100,000 names.

The numbers were posted to an IRS database for tax-exempt political groups known as 527s and first discovered by the group Public.Resource.org.

The California-based group said it learned of the “privacy breach” Tuesday while working on an unrelated audit of an “improperly vetted shipment” of IRS data on DVDs and promptly informed the agency, which shut down the site the next day.

An IRS spokesman told FoxNews.com on Monday the agency was alerted about a “substantial number” of Social Security numbers posted on the site and removed web access to the information “out of an abundance of caution.” The spokesman also said the IRS is now “assessing the situation and exploring available options.”

Read more from this story HERE.

Social Security Faces $9.6 Trillion in Unfunded Liabilities: $83,894 Per Household

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Photo Credit: AP

The Social Security program faces $9.6 trillion in unfunded liabilities over the next 75 years, which is up $1 trillion from last year’s projection of $8.6 trillion, according to the latest report from Social Security’s board of trustees.

The unfunded liability is the amount that has been promised in benefits to people now alive that will not be funded by the tax revenue the system is expected to take in to pay for those benefits. (The Social Security trustees calculate the unfunded liability for a period of 75 years into the future, from 2012 to 2087).

The report, The 2013 Annual Report of the Board of Trustees of the Federal Old-Age and Survivors Insurance and Federal Disability Insurance Trust Funds, provides the latest data through the end of 2012.

Social Security is officially called the Old-Age, Survivors, and Disability Insurance (OASDI) program, and consists of retired workers, their families, and survivors of deceased workers who get monthly benefits under the Old-Age and Survivors Insurance program and disabled workers and their families who get monthly benefits under the Disability Insurance program.

Read more from this story HERE.

The Wall Street Journal Spins for the Senate Immigration Bill

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Photo Credit: Breitbart

The Wall Street Journal editorial board took a strong stance Monday in favor of the Senate immigration bill, arguing that “immigrants will be crucial” to saving Social Security. The proof: a projection that immigrants will contribute $4.6 trillion (in today’s dollars) towards the Social Security trust fund over the next 75 years–nearly half the $9.6 trillion shortfall (for some reason, the Journal cites last year’s $8.6 trillion estimate.)

Even if true, that does not dispose of Social Security’s problems–and it may be misleading to consider the effects on Social Security alone, when new immigrants will also be making use of a host of other entitlement programs, including Medicare, Medicaid, and now Obamacare.

That is not an argument against immigration, but reminds us that using immigrants to shore up failing welfare state programs may be a recipe for failure.

It certainly has been in Europe.

Read more from this story HERE.

Obama Budget to Include Cuts to Programs in Hopes of Deal

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President Obama next week will take the political risk of formally proposing cuts to Social Security and Medicare in his annual budget in an effort to demonstrate his willingness to compromise with Republicans and revive prospects for a long-term deficit-reduction deal, administration officials say.

In a significant shift in fiscal strategy, Mr. Obama on Wednesday will send a budget plan to Capitol Hill that departs from the usual presidential wish list that Republicans typically declare dead on arrival. Instead it will embody the final compromise offer that he made to Speaker John A. Boehner late last year, before Mr. Boehner abandoned negotiations in opposition to the president’s demand for higher taxes from wealthy individuals and some corporations.

Congressional Republicans have dug in against any new tax revenues after higher taxes for the affluent were approved at the start of the year. The administration’s hope is to create cracks in Republicans’ antitax resistance, especially in the Senate, as constituents complain about the across-the-board cuts in military and domestic programs that took effect March 1.

Mr. Obama’s proposed deficit reduction would replace those cuts. And if Republicans continue to resist the president, the White House believes that most Americans will blame them for the fiscal paralysis.

Besides the tax increases that most Republicans continue to oppose, Mr. Obama’s budget will propose a new inflation formula that would have the effect of reducing cost-of-living payments for Social Security benefits, though with financial protections for low-income and very old beneficiaries, administration officials said. The idea, known as chained C.P.I., has infuriated some Democrats and advocacy groups to Mr. Obama’s left, and they have already mobilized in opposition.

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Social Security Disability Rolls Headed For Collapse

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Photo Credit: Examiner

America’s unemployment rate has come down significantly from its peak of 10 percent in late 2009. That may seem to suggest a steady improvement in the employment picture, but the impression is misleading.

We recently pointed out that workers age 25 to 54 are experiencing a jobs depression that has gotten slightly worse since the end of the Great Recession of 2007-2009, with nearly all job growth since the downturn’s end coming among older Americans. But also statistically concealing the dire reality are labor force dropouts. A smaller percentage of Americans now work or seek work than at any point since the Carter era. Jim Pethokoukis, of the American Enterprise Institute, has calculated that if labor force participation had not declined so much since Obama took office, the unemployment rate for January would have been 10.8 percent.

What happens to the workers who drop out of the labor force? Some retire, some become full-time parents, some go on welfare. But here’s an important answer that is often overlooked: In 2011, on average, one net person has been added to Social Security’s Disability Insurance rolls (and 3.3 to its retirement program) for every five net new jobs created. Since 1970, the number receiving DI has grown sixfold (from 1.4 million to 8.8 million), and the program expenses have grown tenfold, which is unsustainable. The federal government now spends more on disability than food stamps and welfare combined. In 2009, DI began paying out more in benefits than it took in from payroll taxes. By 2016, it is set to run out of money.

Read more from this story HERE.

Insecure Social Security: House Oversight Committee Investigating Fraud And Waste In Social Security Program

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Photo Credit: AP

Fraud could be a major reason that the number of people enrolled in Social Security Disability Insurance (SSDI) has risen so dramatically over the past 10 years, according to two letters written by the House Oversight and Government Reform Committee.

The number of enrollees in the program grew by almost 60 percent between 2003 and 2012, from 5.58 million to 8.82 million people, the March 11 letter to acting commissioner of the Social Security Administration Carolyn Colvin says. This rate of growth is twice what the previous decade experienced.

The increase is likely not coming from people who actually need the care, the letter contends. Fraudulent enrollment and improper payments are pushing up the numbers.

The letter, signed by Committee Chairman Darrell Issa (R., Calif.) and two subcommittee chairmen, points out “significant management problems that lead to misspending within the program.”

The letter says many ineligible people are receiving benefits citing a 2010 Government Accountability Office report. For example, some people receive SSDI before receiving a Commercial Drivers License, which requires a rigorous physical exam—indicating that they are not disabled. And some people simply lie about their income to receive the benefits, according to the chairmen.

Read more from this story HERE.

Social Security’s Disability Trust Fund Could Fail to Cover All Benefits Early as 2016

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photo credit: donkeyhoteyAs President Obama faces pressure on the left to defend federal entitlement programs from the benefit cuts that the Republicans say are necessary to keep the programs solvent decades down the road, one part of Social Security could fall short of paying out full benefits within a few years — even while Obama is still president.

Over the long term, Social Security and Medicare have promised tens of trillions of dollars more in benefits than the nation can pay for under current policies. But Social Security’s disability trust fund is in even worse shape, and current estimates say by 2016 it won’t have enough money to pay full benefits.

“That’s three years from now,” Jim Capretta of the Ethics and Public Policy Center said. “And given the president’s rhetoric and his posture, it’s quite clear that he has no intention of doing anything about it.”

The fiscal security of the disability trust fund got rapidly worse as the unemployment rate rose. The number of applications has almost doubled in the last 10 years, from 1.5 million a year in 2001 to more than 2.8 million a year in 2012.

Obama has said little about how he would fix the fund’s finances.

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Social Security Ran $47.8B Deficit in FY 2012; Disabled Workers Hit New Record in December: 8,827,795

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(CNSNews.com) – The Social Security program ran a $47.8 billion deficit in fiscal 2012 as the program brought in $725.429 billion in cash and paid $773.247 for benefits and overhead expenses, according to official data published by Social Security Administration.

The Social Security Administration also released new data revealing that the number of workers collecting disability benefits hit a record 8,827,795 in December–up from 8,805,353 in November.

The overall number of Social Security program beneficiaries—including retired workers, dependent family members and survivors and disabled workers and their dependent family members—also hit a record in December, climbing from 56,658,978 in November to 56,758,185 in December.

In 2011, according to the Bureau of Labor Statistics, there was an average of 112.556 million full-time workers in the United States, of whom 17.806 million worked full-time for local, state or federal government. That left an average of only 94.750 million full-time private sector workers in the country.

That means that for every 1.67 Americans who worked full-time in the private sector in 2011, there is now 1 person collecting benefits from the Social Security administration.

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Study: 83% of Retirees Believe They’ll Lose Their Social Security

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photo credit: 401(K) 2012A recent survey by BMO Retirement Institute found 83 percent of retirees were influenced to start their benefits because they were concerned about the viability of the program.

But for Americans nearing retirement age, knowing when to pull the trigger on government retirement benefits is more complicated—or should be.

“People believe that Social Security is something they get when they turn 65. They think there’s only one calculation: I’ll apply when I stop working,” said Rebecca Hall, a private wealth adviser with Ameriprise Financial in Reston, Va., in a recent interview.

How and when you take your benefits, however, can make a difference of thousands of dollars in how much money you draw from the system over the course of your retirement.

And for many Americans, that difference can be crucial. Some 60 percent of Americans 65 and older depend on Social Security for the majority of income, according to an Economic Policy Institute study published last year.

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“Capitulation to Lawlessness”: Obama’s new plan to protect illegal alien criminals

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Photo credit: Kevin Coles

President Obama’s new immigration plan will provide safe harbor to criminal illegal immigrants and will lead to a “capitulation to lawlessness” that could threaten public safety, Sen. Jeff Sessions, R-Ala., said.

Fox News has obtained an internal document detailing how the Department of Homeland Security plans to implement what critics say amounts to an amnesty policy for what could be more than one million illegal immigrants.

According to the documents, illegal immigrants convicted of felonies or misdemeanors under “state immigration laws” may be granted deferred action. Those who have repeatedly entered the United States illegally will also be eligible. And traffic violations would not be considered a misdemeanor.

“It is a direct threat to the rule of law and to the demonstrated desire of the American people for a lawful system of immigration,” Sessions said. “I believe this administration has utilized this policy to basically undermine and negate the ability of the law officers to do what they have been hired and paid to do.”

Read more from this story HERE.