I need some input here
In a NY Times op-ed titled "It's Even Worse Than You Think", Howell E. Jackson writes:
Last week the federal government ended the fiscal year with a reported deficit of approximately $400 billion, pushing the federal debt held by the public to nearly $4 trillion. Sobering though these numbers are, they actually understate the problem. Through an accounting sleight of hand with far greater consequences than the corporate scandals of recent years, the federal government distorts public debate, threatens social programs and impoverishes future generations.
Okay, I can take that as a given. Wha I want to know about is this part:
Were the federal government to account for its Social Security obligations under the rules of accrual accounting, which govern public companies, its financial outlook would be far worse. By the end of last year, the Social Security system owed retirees and current workers benefits valued at $14 trillion. The system's assets, in contrast, were only $3.5 trillion. These assets include not only the trust funds' current reserves ($1.4 trillion), but also the present value of the taxes that current workers will pay over the remainder of their working lives ($2.1 trillion).
In other words, the system's current shortfall -- its assets minus its liabilities -- is $10.5 trillion.
