Payrolls Rise in March as the Economy Starts to Recover

There is finally some good news on the employment front. Data from the Labor Department showed that payrolls rose steeply in March, the third increase in the last five months.

Data showed that Payrolls rose by 162,000 last month as the economy recovery picked up pace and employers showed more confidence. This is the largest increase in payrolls since March 2007, and the report was welcomed by President Obama, who said it was the best news in the last two years. [Read more…]

Social Security System to Pay More than Its Revenue

The social security system has reached an important threshold that it was not likely to cross until 2016. The system would pay more than it would earn this year because of the poor economy.

The social security system has suffered in the last 2 years – like every other part of the economy – and the effect will be reflected in its latest accounts, according to the Congressional Budget Office (CBO). The revenues have fallen because the major source for revenue is tax on payrolls. With people losing their jobs, payrolls have dropped significantly, and so have the revenues. On the other hand, expenses have increased. The people who have lost their jobs are now claiming benefits through social security and this has put a huge strain on the system. [Read more…]