Yet, as we all know, the Social Security system faces big challenges in paying promised benefits in the coming years due to the nation's changing demographics. Over the next 30 years, the number of people age 65 and older is expected to double-from 35 million to 70 million. In addition, people are living longer and having fewer children. As a result, the number of workers per beneficiary will decline from about 3 workers per beneficiary today to less than 2 workers per beneficiary by 2075.

Because Social Security benefits depend on payroll taxes paid in by today's workers, the current system is on an unsustainable course. Its costs are perpetually growing faster than the tax base that must support it. Social Security's trustees estimate that Social Security's income will fall short of the program's spending beginning in 2016. At that point, Social Security will start to pressure the rest of the budget, because the government will have to come up with the money needed to cash in the Trust Fund balances. By 2038, the Trust Funds will be gone, and we will only be able to pay 73 percent of program costs.

In addition to being unsustainable, the Social Security's current design also creates substantial inequities between generations. Future retirees can expect to get back barely more than they put into Social Security, since they must pay higher tax rates than their grandparents and parents did in order to support the system.

A single female with average earnings who is age 81 today receives a return of close to 4 percent. A female who is age 16 today can expect a return of a little more than 2 percent- around a 45 percent reduction in the rate of return. Men and two-earner couples with average earnings have experienced similar reductions in the rate of return across generations. Even one-earner couples, who have the highest rate of return under Social Security, have experienced a 1/3 reduction in the rate of return, when comparing 81 year-olds to what 16 year-olds can expect. And the rate of return will continue to drop in the future unless we take action.

Restoring Social Security's financial balance through benefit cuts or tax increases makes Social Security's bad deal for younger generations even worse. Social Security's current design also denies workers the opportunity to maximize their retirement dollars.

Another way to address Social Security's long-term financial crisis is to allow individuals to invest in personal accounts. These accounts could earn higher rates of return through prudent investment in private equities markets. These accounts would also allow Americans the opportunity to accumulate real savings. Real savings, not a promise from the government, to ensure a secure retirement income. Real savings that can be passed along to their children.

Fortunately, President Bush has shown true leadership by setting out principles for reform and announcing the formation of a Presidential Commission to strengthen and modernize Social Security. Building on the momentum of bipartisan consensus achieved in a number of proposals introduced by leaders of Social Security reform from both sides of the aisle, the President has asked the Commission to make recommendations to modernize and strengthen Social Security. The Commission will report their findings this fall.

Like many of you I have been blessed with a wonderful family, including 4 children and 13 grandchildren. This Social Security debate is not about securing benefits for people like me, near retirement or already retired. Our benefits will not be touched, as the President has repeatedly said. This debate is about the future of our kids, our grandkids, and future generations.

We know that traditional fixes alone, like raising taxes or reducing benefits, haven't worked in the past and won't work today. Beginning the debate and stepping up to the challenge is the 'American' way; ignoring it is not. Let's build on the success of the past to make a modernized Social Security system an asset to all, not a liability to our children.

Today we hear from the great people of Columbia, Missouri. You will have the opportunity to learn more about Social Security, the challenges it faces, and the options for modernizing and strengthening this important program. Most importantly, we want to hear your views on how best to secure Social Security's future.