Latest news with #trustfund
Yahoo
a day ago
- Business
- Yahoo
Social Security trust fund to run dry in eight years, earlier than expected
The Social Security trust fund is projected to run out in just eight years, depleting earlier than expected. NBC News' Brian Cheung reports more. University of Michigan Economics and Public Policy Professor Justin Wolfers joins Katy Tur to examine why 'too many old and not enough young people" is causing there to be 'not enough money' in the fund.
Bloomberg
2 days ago
- Business
- Bloomberg
Social Security Warns of 23% Benefit Cut by 2034 Without a Fix
The Social Security trust fund will become unable to pay scheduled benefits to retirees and the disabled as soon as 2034, new projections show — one year earlier than last year's estimates. The reports out Wednesday from trustees of Social Security and Medicare funds ramp up the urgency to find a solution to the growing gap between contributions and benefits — or else today's 59-year-olds will see an automatic 23% benefit cut when they reach full retirement age.
CBS News
2 days ago
- Business
- CBS News
Social Security's insolvency date is now a year earlier. Here's how it could impact your benefits.
Social Security is on track to deplete its trust fund by 2034, one year sooner than previously forecast, when the federal retirement program will be required to cut monthly benefits by about 20%. The new projection, issued Wednesday in the Social Security Board of Trustees' annual report, is partly due to increased costs from the Social Security Fairness Act, which boosted benefits for millions of retirees, the report said. Last year's report had forecast that the program would need to cut benefits starting in 2035, impacting Social Security's 70 million beneficiaries. The Social Security program has been staring down a financial crunch for years, although the trust fund's depletion date can change from year to year due to fluctuations in the economy and the number of beneficiaries. The trust fund is slated to be depleted partly due to the wave of baby boomer retirements and an aging U.S. population, which means its reserves are drawing down because spending is outpacing income. "Congress, along with the Social Security Administration and others committed to eliminating waste, fraud and abuse, must work together to protect and strengthen the trust funds for the millions of Americans who rely on it — now and in the future — for a secure retirement or in the event of a disability," said Frank Bisignano, commissioner of Social Security, in a statement. Even if the trust funds are depleted — which may not occur if Congress makes changes to how the program is funded, for instance — benefits won't suddenly disappear. Instead, Social Security beneficiaries would see a 19% cut to their benefits, the report said. Changes to Social Security One of the changes to Social Security this year that will have a "substantial" impact on the program is the Social Security Fairness Act, which went into effect on January 5, the report said. Americans are also filing for Social Security benefits at a record rate this year, the program's data shows. The number of people claiming benefits jumped 17% to 1.8 million in 2025 through May versus the same period a year earlier, putting the program on track to enroll 4 million new beneficiaries in 2025. The spike in early benefits claims comes as the Trump administration has slashed jobs at the agency and made other changes at the Social Security Administration, which had already been struggling to provide services to retirees, disabled people and survivors of deceased workers who rely on the program. Anxieties about the stability of the program likely prompted some of the new filings, experts have told CBS MoneyWatch.
The Sun
13-06-2025
- The Sun
Inside ‘hedonistic' downfall of plumber whose £11m lottery jackpot cost him his life after blowing fortune in 3 years
LOTTERY winner Joshua Winslet was found dead in his home after his £11million prize caused his life to spiral out of control. The Australian plumber was just 22 years old when he landed the fortune in 2017, but he blew it all in just three years after he was crippled by addiction. 8 8 His parents tried to help him manage the eyewatering sum of cash by stashing it in a trust fund, but tragically, that wasn't enough to save him. In 2022, he died at home from health complications caused by excessive drug use. His death was not reported by New Zealand or Australian press at the time. His tragic end came shortly after he was arrested and sentenced to three years and nine months in prison for supplying drugs and possessing a firearm. A friend of Josh spoke of his death and told the MailOnline: "It was such a shock and absolutely devastating, but sadly a lot of us were so worried this is what it was coming to." Looking back at his lottery win, she said: "When I found out he won through the grapevine, I thought, 'Oh, wow, that's extraordinary.' "I was so happy for him. Out of everyone from our school, and after all the bullying he copped, he deserved it more than anyone," she added. Another said how he called her and her boyfriend to break the news of his Powerball winnings. She said that she initially thought he was joking, but after he sent her a screenshot of his Lotto app, she realised he was being serious. But how did the hardworking tradie's life take such a drastic turn? Josh was living on New Zealand's South Island at the time and had suffered severe bullying over his 'physical deformities' that were caused by Duane syndrome and Goldenhar syndrome. Duane syndrome stops the eye muscles from developing properly, which affects eye movement. Goldenhar syndrome causes abnormalities in the formation of the bones in the face and head. It can also cause spinal issues and benign cysts to form on the eye, as well as impacting internal organs. He'd had a string of surgeries as a child to treat the syndromes. Josh was also born with a singular horseshoe-shaped kidney and an irregular heartbeat, stopping him from playing contact sports. The torment inflicted on him by his peers was so severe that when he was in Year 10 he left school and studied at Adelaide University Senior College in South Australia. He studied for around six months before leaving to do a plumbing apprenticeship. When he was 20, he moved to New Zealand's South Island to look for work. Around this time, he used the last £9 ($19) in his bank account to buy a last-minute ticket for the Powerball draw and won £11million ($22milion). But the cash began to burn a hole in his pocket, and he soon started splashing it on a-class drugs. In 2020, cops raided the "party house" and found an unlicensed firearm Mauser handgun and ammunition hidden in his bathroom. A horde of illegal substances, including 28.3 grams of MDMA and 2.27g of cocaine, was also seized. Investigators received a tip-off the lottery winner was allegedly manufacturing drugs at the property. Josh, who was 27 at the time, pleaded guilty to supplying MDMA and possessing a firearm without a licence. He was sentenced to three years and nine months, with a non-parole period of 18 months. The sentence was suspended on a two-year good behaviour bond, with supervision. Shocking images released by South Australia's District Court showed the inside of his trashed New Port mansion at the time. Empty bottles of booze, bongs, bags of MDMA, cocaine and marijuana appeared to be littered around the bachelor pad. Nitrous oxide canisters, cigarettes and half-drunk glasses of wine were also seen strewn across a marble table. Another snap showed a large bowl filled with a mystery white powder inside his fridge, alongside a pack of Red Bull cans and beer boxes. Chaotic jumbles of rubbish and clothes were left dumped on the floor in an "appalling" state. Judge Heath Barklay said that Josh had "lost motivation" for life and had adopted a "hedonistic lifestyle". He said: "Because of the money that you had won, there was no motivation on your part to work or do anything other than enjoy yourself. "You had lots of money so you could afford to buy large amounts of drugs, which you would use yourself and supply to your so-called friends from time to time." 8 8 8 8 8 8
Washington Post
09-06-2025
- Business
- Washington Post
Can $1,000 at birth change a child's future? A Republican proposal aims to find out
WASHINGTON — When children of wealthy families reach adulthood, they often benefit from the largesse of parents in the form of a trust fund. It's another way they get a leg up on less affluent peers, who may receive nothing at all — or even be expected to support their families.
