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‘We’re all worried the honey pot will run dry’: Does the U.S. government borrow from my Social Security to fund federal programs?

MarketWatch

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⚡ Quantum Brief

The U.S. government has historically borrowed from Social Security trust funds to finance federal programs, raising concerns about long-term solvency and repayment integrity. The practice dates back to President Lyndon Johnson’s administration, when funds were diverted to support the Vietnam War, setting a precedent for future borrowing. Critics question whether these loans were fully repaid with interest, as required by law, or if they created structural deficits in the trust funds. A 2026 MarketWatch analysis revisits these concerns amid growing public skepticism about Social Security’s financial stability and its reliance on government IOUs. The debate underscores broader anxieties over whether future beneficiaries will receive full benefits as the "honey pot" risks depletion.

‘We’re all worried the honey pot will run dry’: Does the U.S. government borrow from my Social Security to fund federal programs?

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‘We’re all worried the honey pot will run dry’: Does the U.S. government borrow from my Social Security to fund federal programs?(8 min)(8 min)I read your response to the woman who wondered why she should invest in Social Security when the stock market would have been far more lucrative (“If I had invested my Social Security in the S&P 500 I’d have $4 million. Is the system broken?”). My understanding is that during President Lyndon Johnson’s administration, the administration borrowed money from the Social Security trust funds to fund the war in Vietnam. Was that money ever repaid and, if so, did the government pay interest on it? Copyright ©2026 MarketWatch, Inc.

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‘We’re all worried the honey pot will run dry’: Does the U.S. government borrow from my Social Security to fund federal programs?

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