The COVID-19 pandemic is having both positive and negative financial effects on the Social Security program. The net financial effect is clearly negative in the short term and uncertain in the long term. Even more uncertain is how long the pandemic itself will last. The longer it goes on, the greater are the negative effects on not only Social Security, but all forms of retirement income and assets. Financial planners need to watch this very carefully to avoid any surprises.
Author: Bruce D. Schobel, FSA, MAAA, CLU, CEBS, is a consulting actuary in Winter Garden, Florida, who worked for SSA during 1979 through 1988 and has stayed involved in Social Security matters since then. He was staff actuary to the National Commission on Social Security Reform (the “Greenspan Commission”) that developed the framework for the Social Security Amendments of 1983.
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