What happens to all the money that is collected from people that become deceased before they could collect? Not everyone is married and has offspring.

BB, that money already went in the pool as those people were paying their ss taxes. The 'pool' just didn't have to pay out for them.

It's similar to how many people pay expensive home insurance premiums every year and never submit a claim. If my neighbor's house burns down, he 'makes money' from the insurance company. I just keep paying in and never get anything back.

Babyboomer
 

What happens to someone who dies before he gets his benefits....good question. If this person had small children; they will get benefits (not sure if 18 or until 21) from just one person who had worked; so will his widow at some point. There can be as many as say this person had 4 children and a widow. That makes 5 people collecting from what one person put in. Social Security started adding benefits and more benefits until it is going broke. There is many many more benefits as well...too many to mention; but this should give you some idea.

Gerry

The same thing that happens to your car insurance premiums if you don't have an accident. The same thing that happens to your homeowner's insurance premiums if you don't have a house fire.

Social Security is not a savings account even though the word 'trust fund' is used.

The taxes paid by today's workers are being used to pay today's benefits. The ability to pay tomorrow's benefits will be based on the ability to collect taxes from tomorrow's workers. Another reason to ease up the immigration laws for younger people. The influx of young immigrants will create the taxpayers who will pay tomorrow's benefits. Well, if there are jobs...:confused: