Most of the news headlines focus on how much the U.S. owes China. And, in fact, China is the largest foreign owner of U.S. debt. However, the biggest single owner is ... you. Why? Because the single largest holder of national debt is the Social Security Trust Fund, aka your retirement money. Here's how it works.
The U.S. Treasury manages the U.S. debt (among other things) through its Bureau of the Public Debt. The Bureau has broken out the debt into two main categories: Intragovernmental Holdings ($4.9 trillion) and Debt Held by the Public ($11.6 trillion).
Intragovernmental Holdings - Just under one-third of the Federal debt is owed to about 230 other Federal agencies. How does this happen? Some agencies, like the Social Security Trust Fund, take in more revenue from taxes than they need right now. Rather than stick this cash under a giant mattress, these agencies buy U.S. Treasuries with it.
Which agencies own the most Treasuries? Social Security, by a long shot. Here's the detailed breakdown:
Social Security (Social Security Trust Fund and Federal Disability Insurance Trust Fund) - $2.72 trillion
Office of Personnel Management (Federal Employees Retirement, Life Insurance, Hospital Insurance Trust Funds, including Postal Service Fund) - $1.12 trillion.
Congress nd the Seate had no intention of paying back the money they looted for thier pork pojects. That why they created the speicial treasury notes. Alan Greenspan never complsined because he knew the game. I would repay the nice federsl reserve by canceling the debt held by the federsl reserve and the noted held by the big banks. The big banks received federal reserve monery to buy the noted. i fully understsnd that my idea would destroy the federal reserve which would be a big plus for our future.