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by vital_sol
5424 days ago
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Social Security and Medicare are different from Medicaid and military budget, because they have different funding. Social Security and Medicare are funded by payroll taxes.
Medicaid and military budget funded from Federal income tax. If you cut military budget 100%, you will save ~900 billions (or whatever the right number is) a year.
If, on the other hand, you cut Social Security or Medicare, the savings are 0, because you will have to cut their funding as well.
Surely, no one will pay Medicare taxes, if there is no Medicare exist, right? |
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Guess what happens to the rest of the money: It gets spent elsewhere. Social security buys US Government debt with any excess, meaning it goes directly into the budget. In theory the SS trust has assets, but in reality the money is gone. It's one account holding a bunch of IOUs from a second account, and both accounts are owned by the federal government.