The Social Security Trust Fund
A)is insolvent relying on payments from the general fund.
B)is in surplus but the surplus is falling.
C)generates dividends and investment income to fund Social Security payments.
D)is managed by the Federal Reserve.

Question

Quizplus · Accepted Answer

The Social Security Trust Fund is currently in surplus, but the surplus is falling. This means that its assets, which are largely invested in Treasury bonds, are still generating investment income, but the amount of money coming in is projected to soon be less than the amount going out to pay for Social Security benefits. This is due in large part to an aging population and a relatively smaller working-age population paying into the system.