The Holiday will constitute about 3% of the general fund's debt to social security

[Still a Democrat]

For those concerned the Holiday creates a liability on the part of the general fund and will lead to Social Security being pulled into the deficit reduction debate, it's important to remember the general in already enormously in debt to Social Security.

[leveymg]

1. It's the first time I'm aware of that funding of a Bill has explicitely borrowed from the SSTF.

Please correct me if I'm wrong.

[MannyGoldstein]

2. True, but the horrific part is that it effectively memorializes that cut forever

Yes, yes, I know, Obama will fight fiercely to restore the 2% in two years when he has more leverage. But back on Planet Earth, it will never be restored. And it will be become another excuse for Obama's fetishistic attacks on Social Security.

That same amount could have been rebated through cutting federal tax withholding - it would have created the same debt in the general fund, but would not have the intended effect of weakening Social Security.

[Warren Stupidity]

3. And it will pull in the point in time when the Big Payback

has to commence and the Deficit Hawks will be mounting their Fierce Advocacy for 'reform' well in advance, as in this year and next.

It is a huge dilemma. Not honor all those T-bills? Raise taxes on the wealthy? or Cat food for you? Tough choices indeed.