Alan Simpson: “Let me tell you that there is no Social Security trust fund. It is a huge stack of IOU's. The trustees know that, all…”

“Let me tell you that there is no Social Security trust fund. It is a huge stack of IOU's. The trustees know that, all thoughtful Americans know that. It is listed in the trustees' report. It is a huge stack of IOU's. There is no place in there with your name on it or my name on it. When a young person pays in today, it goes out next month to the beneficiary. In the year 2011, there will not be enough payroll tax to cover it. There will be a huge accumulated surplus then. And then you go and take the IOU and say, 'I am cashing this in.' That is the double hit that is coming. We are all aware that the Social Security program and its relation to any balanced budget constitutional amendment will always be an issue of fervent controversy. In fact, many individuals, and the well-organized interests and, oh my, the citizens and, oh, my, the AARP--do not miss their work here--have cited the need to 'protect' Social Security as a moral justification for opposing any such constitutional amendment.”