Corporations and non-profits are required to report the amount of liabilities or promises they have made that are outstanding. Responsible companies set aside funds to pay for these promises when they become due. The US government does not have to abide by these reporting and reserving measures. The bulk of government's total liabilities are unfunded. As of the end of 2012, the actual liabilities of the US federal government— including Social Security, Medicare, and federal employees' future retirement benefits—were estimated to exceed $86.8 trillion, or 550% of annual GDP. Today the amount of unfunded liabilities has increased astronomically.

Social Security and Medicare are underfunded by $175 trillion. The nightmare arrives.

In 2014 I published my first book while I was in Hong Kong. This book focused on the insane policies of the Obama/Biden regime and offered solutions that were working overseas.

The biggest problem on the table was the massive amount of unfunded liabilities that were being created under the Biden regime. Below is what I wrote at that time (pp. 23-24).

Even more alarming than the US's annual deficits or federal debt burden is the amount of its unfunded liabilities. Unfunded liabilities are financial promises made with no money held in reserve to support these promises. For-profit organizations (e.g., companies or corporations) or not-for profit organizations (e.g., charities) must report the amount of liabilities or promises they have made that are outstanding. For example, if you have promised your employees that they will receive a pension upon their retirement, then you must report this in your financial statements. In addition to reporting, a prudent company will set aside funds to pay for these promises when they become due. Companies may be legally prevented from taking money from the assets set aside for some of these obligations, and if a company or organization does not set aside adequate assets to support their liabilities, the organization could go bankrupt and face litigation as a result. Unfunded liabilities are a cause for concern in a company or corporation and a severe red light for anyone reviewing a company's balance sheet to determine its financial solvency and business practices.