Trustees Report: Medicare to Go Broke 3 Years Sooner

By Associated Press – Re-Blogged From Newsmax

Medicare will run out of money sooner than expected, and Social Security’s financial problems can’t be ignored either, the government said Tuesday in a sobering checkup on programs vital to the middle class.

The report from program trustees says Medicare will become insolvent in 2026 — three years earlier than previously forecast. Its giant trust fund for inpatient care won’t be able to fully cover projected medical bills starting at that point.

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Are Intragovernmental Holdings Real Debt?

By Scott Anderson – Re-Blogged From Seeking Alpha

[This article orignally was written over 5 years ago. I’ve update the numbers to today. -Bob]

As everyone who is paying attention knows, the amount of US debt outstanding is fast approaching $20.5Trillion. But whom do we owe it to? Most of the debt, about $14.8T of it, represents debt held by the public. This portion of the debt is easy to comprehend. It could be bonds held by investors, savings bonds given to children, bonds purchased by the Chinese government, or even bonds purchased by our good buddies at the Federal Reserve. The remaining balance of $5.7T, known as “Intragovernmental Holdings,” is what I would like to discuss today.

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US Public Debt Surges By $175 Billion In One Day

By SRSrocco – Re-Blogged From http://www.Silver-Phoenix500.com

After the U.S. Government passed the new budget and debt increase, with the President’s signature and blessing, happy days are here again.  Or are they?  As long as the U.S. Government can add debt, then the Global Financial and Economic Ponzi Scheme can continue a bit longer.  However, the days of adding one Dollar of debt to increase the GDP by two-three Dollars are gone forever.  Now, we are adding three-four Dollars of debt to create an additional Dollar in GDP.  This monetary hocus-pocus isn’t sustainable.

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Trump’s Tax Cuts: The Good, The Bad, and the Inflationary

By Stefan Gleason – Re-Blogged From Money Metals Exchange

At last, tax reform is happening! Last week, President Donald Trump celebrated the passage of the most important legislation so far of his presidency.

The final bill falls far short of the “file on a postcard” promise of Trump’s campaign. It even falls short of the bill trotted out by Congressional Republicans just a few weeks ago. It is, nevertheless, the most significant tax overhaul in more than a decade.

Corporations and most individual taxpayers will see lower overall rates. That’s the good news.

Unfortunately, there is also some not so good news investors need to be aware of.

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Out Of Money By December 12th – Social Security Partial Inflation Indexing (Part 2)

By Daniel Amerman – Re-Blogged From http://www.Silver-Phoenix500.com

Most advice on long-term planning for retirement and Social Security benefits is based on the assumption that Social Security will fully keep up with inflation. As we are establishing in this series of analyses, the full inflation indexing of Social Security is a myth and there are major implications for standard of living in retirement as well as the associated decisions with regard to both Social Security and investment planning.

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Social Security Inflation Lag Calendar – Partial Indexing

By Daniel Amerman – Re-Blogged From http://www.Silver-Phoenix500.com

There is a lot of advice out there about Social Security – most of which is based on Social Security being fully inflation indexed.

However, as we will establish in this first in a series of analyses, Social Security is only partially inflation indexed. As a matter of design it does not fully keep up with inflation.

Sound like an obscure difference?

“Partial inflation indexing” is little understood by the general public, but it could transform your standard of living – along with the quality of life of millions of others – in the years and decades to come. Indeed, partial inflation indexing can mean effectively having only 11 months of benefit purchasing power- or even 8 months –  to cover 12 months of expenses each year.

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