Most Americans don't start saving for retirement as early as they need to. This leaves many people dependent on Social Security for their retirement funds. But will Social Security funds be there when you retire?

Nearly 45 million Americans currently receive Social Security benefits. Social Security will begin running into cash problems around 2010 when approximately 76 million Baby Boomers begin to retire. Around this time, taxes will not be enough to pay out Social Security benefits. However, interest from the bonds invested in by Social Security trust funds should be able to cover benefit payments for another twenty years or so.

The Social Security Board of Trustees predicts that by 2041, Social Security will be able to cover only 78 percent of all benefits. If you are retiring within the next twenty or so years, your benefits will probably be fully covered.

Many factors will decide whether these predictions come true. More people in the workforce and a stronger economy could lessen the problem. Possible solutions to the Social Security problem include privatizing Social Security, raising payroll taxes, increasing the retirement age, changing the 35-year earnings average to 38 years, and allowing Social Security trust funds to be invested in the stock market.