General Discussion
In reply to the discussion: This message was self-deleted by its author [View all]El_Johns
(1,805 posts)into the general fund.
The article you linked is about federal yearly budget deficits. Surplus SS doesn't create any yearly deficit in the budget, in fact it reduces deficit. But borrowing from SS surplus taxes increases debt. The debt is to the Social Security program, which is why CBO & Treasury classify it as such. It's intragovernmental debt, but still debt.
What are Intragovernmental Holdings?
Intragovernmental Holdings are Government Account Series securities held by Government trust funds, revolving funds, and special funds; and Federal Financing Bank securities. A small amount of marketable securities are held by government accounts.
http://www.treasurydirect.gov/govt/resources/faq/faq_publicdebt.htm#DebtOwner
In economics, intragovernmental holdings (also known as intragovernmental debt or intragovernmental obligations) are Government Account Series (GAS) securities held by government trust funds, revolving funds and special funds. [1]
Intragovernmental debt is incurred when the government borrows from federal trust funds to help fund current operations.
In the United States, intragovernmental holdings are primarily composed of the Medicare Trust Fund, the Social Security Trust Fund, and Federal Financing Bank securities. A small amount of marketable securities are held by government accounts. [1][3]
http://en.wikipedia.org/wiki/Intragovernmental_holdings
What is debt held by government accounts? View details More Results Toggle
Debt held by government accounts represents balances in the federal government's accountsprimarily trust fundsthat accumulate surpluses. Trust fundsFederal budget accounts that are so designated by law. These accounts usually have a designated, or "earmarked," source of revenue. These revenues are authorized to be spent for the programs and activities supported by the trust funds. Examples are the Social Security and Medicare trust funds. are accounting mechanisms used to link dedicated collections with the expenditures of those receipts. Trust funds for Social Security, Medicare, Military Retirement and Health Care, and Civil Service Retirement and Disability account for the vast majority of the total debt held by government accounts.
http://www.gao.gov/special.pubs/longterm/debt/debtbasics.html