The Progressive


A project of Common Dreams

For Immediate Release

Karen Conner, 202-281-4159,

Social Security Fully Funded Through 2034, Assuming No Changes


In a new analysis of the Social Security Trustees Report, the Center for Economic and Policy Research (CEPR) concludes that Social Security benefits are fully funded through 2034.

In the analysis by CEPR Program Associate Sarah Rawlins, the program does have a projected shortfall equal to 3.21 percent of taxable payroll over the next 75 years. But the outdated Social Security payroll tax cap, set in 1983, only taxes the first $137,700 of wage income per year (in 2020), letting higher-income wage earners pay less than the 6.2 percent effective tax rate most US wage earners pay. Thus, the shortfall is easily fixable and is not an indicator of the function of the program itself.

The Center for Economic and Policy Research (CEPR) was established in 1999 to promote democratic debate on the most important economic and social issues that affect people's lives. In order for citizens to effectively exercise their voices in a democracy, they should be informed about the problems and choices that they face. CEPR is committed to presenting issues in an accurate and understandable manner, so that the public is better prepared to choose among the various policy options.

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