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The American Academy of Actuaries Stumbles on Social Security 'Sustainable Solvency'
Ken Steiner, FSA Retired
[Opinion] Aug. 4, 2017
"The condition of 'Sustainable Solvency' developed by the SSA actuaries is based on exact realization of assumptions made today about the next 75 years.... [T]here exists no mechanism in current Social Security law to maintain actuarial balance (or Sustainable Solvency) over time. Therefore, a condition of Sustainable Solvency achieved at the time of eventual System reform will not guarantee or 'ensure' sustainable solvency for any specific period of time, and the AAA's call for implementation of a solution 'to ensure sustainable solvency of Social Security' is, in our opinion, potentially misleading to the public, Congress and other intended users of the AAA's Issue Brief."
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