25% of Social Security disability benefits may be paid out improperly

And the hits keep coming for the Obama administration! OK … it’s not just the Obama administration, it’s the culture of federal government dependency that has been growing for decades. A Senate panel reviewed 300 disability case files and found 25 percent “failed to properly address insufficient, contradictory, or incomplete evidence.”

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More good news from Washington

We learned in May that the Trustees of the Social Security and Medicare Trust Funds reported that the Social Security Disability Fund is expected to go broke in 2018.  Of course, it is already broke as all it has are government IOU’s, but that’s not the reason for the post. Read more

Coming soon…another government “entitlement” program

Not satisfied with the destruction of health care as we know it in this country, Congress is considering a massive new program that is sure to cost us lots of money.  The proposal, introduced by Sen. Kennedy (D. Ma.), will put the government into the disability insurance business.

Sen. Edward Kennedy plans a new disability-insurance program that would automatically enroll all American workers as part of the sweeping health-care bill he is preparing to introduce, aides said Friday.[emphasis supplied]

Here’s the plan.  All employees would have an extra amount of taxes (oops, I should have said premiums) deducted from their pay checks of “no more than $65 per month”.  An employee could “opt out”, but I suspect that won’t be easy.  And,

the money [collected by the government in under this program] would be put into its own separate fund, not available to other government spending.

Should you believe that last part, I have a nifty bridge in Brooklyn that I will be happy to sell.

Then, if an employee becomes

so disabled they cannot participate in at least two or three activities of daily living, such as eating, bathing or using the toilet,

said employee is entitled to a cash benefit of up to $50 per day.

But, here’s  the best part.

The new program is distinguished from private and public disability programs in that the disabled could collect benefits even if they are still working, and it could be easier to be deemed eligible. [emphasis supplied]


Let’s flash forward several years.

First, more and more employees will become “disabled”,  and the “separate fund” will become depleted.  So, the taxes (oops, premiums) of those participating will increase well beyond the “no more than $65 per month” amount.  Next, as more and more employees leave the system due to the increased “premiums” deducted from their pay checks, Congress will mandate that employees will no longer be able to “opt out”.  And finally, when even that can’t pay for the costs of this plan, you and I will be left with yet another “entitlement” program that is out of control, and which can only be supported by increased taxes.

This is the genesis of “entitlement” programs, innocuous at first, but lethal as time progresses.