Another looming government disaster
Over the past several months, we have heard a great deal about Medicare going bankrupt in 2024, and Social Security going bankrupt in 2037. But, there is another program that has received little attention…retirement programs for former federal workers.
According to an analysis done by USA Today, at present, the federal government has an unfunded liability of $5.7 trillion to cover benefits promised to both military and civilian employees. In the private sector this would be prohibited as all private sector pension funds are legally required to be 100% funded.
Here is a glimpse of the findings.
The government paid a record $268 billion in pension and health benefits last year to 10 million former civil servants, military personnel and their dependents, about $100 billion more than was paid a decade earlier after adjusting for inflation.
And, last year,
…the federal government…made more than a half-trillion dollars in future commitments, valued in 2010 dollars that will cost far more to pay in coming decades. Added last year:
- $107 billion in retirement benefits accumulated by current workers.
- $106 billion in new benefits granted to veterans.
- More than $300 billion in the snowballing expense of previous retirement promises that have no source of funding.
We have over spent and over promised.
Meanwhile, yesterday, the Department of Energy shoveled another $4.7 billion in loan guarantees out the door to three solar-power plants and one large solar project. Remember, if the guarantees were not made by yesterday, the Department of Energy would lose the ability to do so, and, not spending every dime allocated to you is unthinkable in government circles.
Let me correct the above statement…not only have we over spent and over promised, but, our government’s priorities are totally removed from reality.
Thank you very much for this article SOS. the key words here as in most things about liberals are "totally removed from reality" they all sit there like little kings and princesses and dictate how the world should be without a thought who will pay<or work for the money> to pay for all these things they dictate.
But no state or municipality has unfunded pension liabilities, right?
PV several years ago Connecticut had a $20 billion unfunded teachers retirement liability. I wonder what it is now??
…much much more….
I’d read about Weimar inflation recently because I thought stories about wheelbarrows full of money and people burning the money just to keep warm were all amusing right wing hyperbole, but we may actually be approaching a time when it’s cheaper to have a stack of singles in the bathroom rather than toilet paper!
Oh, and starving billionaires in Africa:
Just another reason why you simply can’t trust politicians to do the right thing.? At least for very long.
Now tell me again why entrusting them with our healthcare system is a good thing?
The most awful part is that the US government can pay every nickel with dollars worth a whole lot less then now. $20 for a loaf of bread anyone?
Oh you are just getting too soft.
Buck up and eat your peas!
Take your slippers off!
That is way too scary