One marker of prudent fiscal practices is maintaining balance between spending and revenues.
When economic conditions permit, states should accumulate budget reserves adequate to maintain services during recessions.
Deficit-reduction efforts should avoid cuts in programs that serve low- and moderate-income populations.
The federal government must strive for long-term fiscal balance to forestall hardships that result from higher inflation, a falling dollar, higher interest rates, and the in
At the federal level, budgetary spending can be grouped into two categories: entitlement and discretionary spending.
Current law requires that Social Security funds be dedicated exclusively to the program’s obligations and that any funds not needed to pay benefits immediately be invested in US Treasury bonds.
The Social Security trust funds represent a compact among generations that must be honored.
AARP supports exempting Social Security’s administrative costs from limitations on discretionary appropriations in the federal budget.