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But these bonds could be sold on the open market at any time to finance benefit payments.
They, too, are poorer and may have to reduce their spending on other things as they come up with more cash to finance benefit plans.
Social Security operates similarly in the sense that the payroll taxes it collects are currently insufficient to finance benefit payments.
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The pay-as-you-go system seems to demand more workers just to finance benefits already promised.
States finance benefits by taxing employers, typically building surpluses in good times to cover payments in bad.
Americans are also having fewer children, which means fewer workers will be paying the taxes that help finance benefits.
Out of spite, it seems, Long blocked a hundred-million-dollar appropriations bill that the Administration was pushing to finance benefits for crippled children and pensioners.
They discuss optimal payroll tax rates that minimize distortions of labor supply and retirement decisions and consider alternative ways to finance benefits, including consumption and capital income taxation.
Congress voted last fall to finance benefits for a large group of retirees for several months, but House and Senate Republican leaders have yet to agree on a longer-term solution.
Mr. Romney, who had a long career in finance, benefited from the lower tax rate on so-called carried interest, which can make up a substantial portion of a private equity manager's income.
When it comes to personal finance benefits at work, most companies have been focused mostly on retirement.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com