Take Action!

  • Understand the latest funding projections from the Social Security Board of Trustees.
  • Focus on saving as much as you can instead of relying on Social Security to pick up the slack.
  • Help your parents or grandparents make the best Social Security decision possible.

Will Social Security still be here when you retire?

Retirement: It's a happy eventuality for every working individual. While the true joy is in the destination, ensuring your visions are fulfilled requires proper planning and investing through each leg of the journey.

The short answer — no one knows. According to the 2012 annual report from the Social Security Board of Trustees, the Social Security Administration currently has the funding to pay out full benefits through 2033. After that time, they are projecting that, under current circumstances, they will only be able to pay out 75% of scheduled benefits.

Basically, they are predicting that Social Security retirement benefits will be around in some form at least through 2086. But we don't have a crystal ball. We don't know what, if any, changes will be made to Social Security legislation between now and when you retire. And we can't guarantee that even if Social Security is around that YOU will be eligible for benefits.

Therefore, we encourage you to control what you can control — how much you save for retirement. We recommend that you focus on saving as much as you can instead of relying on Social Security to pick up the slack. That way, if Social Security is not available for you, you will still have the means to sustain the retirement you want. And if Social Security benefits are available, you'll be in an even better financial position. Remember, small savings over time can really add up. If you haven't started saving for retirement, why not start today?

Want to help your parents or grandparents make the best Social Security decision possible? Check out our information on Social Security for individuals who are age 60 and older.

This material is provided for educational purposes and should not be considered investment advice. BlackRock cannot be held responsible for any direct or incidental loss resulting from applying any of the information obtained from these materials or from any other source mentioned. BlackRock is not engaged in rendering any legal, tax or accounting advice. Please consult with a qualified professional for this type of advice.

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