The president’s aggressive views on immigration have generated intense debate over the past year, but much of that discussion has ignored a key issue: What immigration restrictions would mean for the long-term health of Social Security. In the nearer term, it would accelerate by one year the date by which the Social Security trust fund is projected to be depleted—from 2034 to 2033. All else equal, fewer workers means less payroll tax revenue equals a bigger Social Security shortfall. That would offset some of the decline in payroll tax revenue, but not nearly all of it. Whatever you think about the immigration debate, it is important to take into consideration what limits on entry into the US or deportations will mean for the future of Social Security.

Source: Forbes February 21, 2018 20:20 UTC