Myth No.2: Congress doesn't pay into Social Security, so it doesn't care about fixing the crisis.

The idea that U.S. lawmakers don't pay into Social Security is 20 years out of date. Before 1984, U.S. representatives and senators -- like all other federal employees -- weren't covered by Social Security and didn't pay into the system. Congress passed a law in 1983, which took effect the next year, requiring all its members (and all federal employees hired after that year) to participate in the system.

This myth is often accompanied by the assertion that Congress participates in a private pension scheme that pays them their salaries for the rest of their lives. In fact, the Civil Service Retirement System, which covered federal employees in earlier decades, was closed to new participants after 1983. The pensions available under this old system depend on the federal worker's pay and tenure with the government, but by law can't exceed 80% of the final year's pay. Benefits paid under the system are reduced by the amount of Social Security the participant receives.

The reason Congress hasn't fixed the Social Security crisis is politics. The most likely solutions -- raising taxes, cutting benefits, establishing private accounts or some combination of the three -- all face strong opposition. In addition, the people currently receiving benefits are represented by one of the strongest, most politically connected lobbies in existence: AARP. The 20-something workers who likely will pay the cost for congressional inaction don't have nearly the same clout.