We have constantly heard about the shortfalls the Social Security Disability Insurance (SSDI) program is facing and some people may have even heard that the reserves of the program could be depleted as early as 2016. Considering 2016 is an election year, and a presidential one at that, it doesn’t take a political scholar to know that Congress doesn’t like to create a lot of waves during an election year. So, what will happen to SSDI?
This is a big concern for the 9 million people who rely on SSDI to survive, but we should be cautious and not overreact and have a sky is falling mentality. Solutions are available and will likely be enacted before any cuts are made to the SSDI program.
The likely scenario is that Congress reallocates some of the tax revenue the Social Security Retirement Insurance (SSRI) program receives. The reason this remains the most likely scenario is that the SSRI program has a longer life span under current projections. The SSRI program is not anticipated to be depleted (if nothing is done) until 2035. Also, reallocating funds from this program has been done at least six times in the past, most recently in 1994.
There is some difference this time around though. For one, if Congress does not act soon, we will be in an election year in 2016 and substantial legislation is not usually passed in election years. In addition, the decisiveness of Congress and the Republican’s willingness to keep the American people on the edge of the cliff to fight safety net program improvements should at least make us sweat a little bit. And consider the SSDI program is not exactly the Republicans favorite program. For more information on the impending deadline click check out this article here.
