SocSec main fund diving into red now, too

Last week, I took a look at the ble…er, lack of future of the Disability Insurance (DI) portion of Social Security. Depending on the assumption of outgo used, that fund will likely run out of money between June 2015 and September 2016.
Since the Social Security Trustees are late with their already-delayed annual report, I decided to take a look at the much-larger Old-Age and Survivors Insurance (OASI) portion of Social Security. The Cliff’s Notes version, for those of you who don’t want to wade through the details on a holiday weekend, is that once again, the Trustees were overly optimistic last year. The OASI “Trust” Fund will begin running annual primary (cash) deficits this month, will likely begin running overall (including interest) deficits sometime between 2014 and 2020, and will likely be exhausted sometime between 2026 and 2033, with the latter two breakpoints depending on which rate-of-cost-growth one selects.