The Truth about Entitlements

I strongly recommend this excellent paper by Arnold Kling, The Truth About Entitlements:

Social Security is not protected by its trust fund. The trust fund contains no real assets. It is simply an accounting device that indicates the promises that have been made to current workers to provide benefits to them in retirement. There is no way to avoid having Social Security absorb a large share of the budget during the years when the Baby Boomers are collecting benefits.

He addresses five myths about our current financial situation and the impending disasters that are Social Security and Medicare. It's not cheerful but it is important. It is an excellent presentation of the issues, clearly explained.