The Trust Funds could simply begin sending IOUs to Treasury rather than the other way around, as is the case now. It is important to note in this regard that, given the long-term nature of the problem, borrowing money to pay for Social Security indefinitely is not an option. We are not dealing with a one-time crisis that will run its course in a couple of decades. We are, instead, about to enter a permanently changed demographic situation. Borrowing makes sense if the shortfall is temporary, but not when the change is permanent.
Permanent change requires fundamental structural reform.
These reforms won't be easy. But if we start now, they can be gradual and need not require painful sacrifice from seniors who are already retired or in genuine financial need. Sooner or later, reform will come anyway. By blinding us to the full magnitude of the challenge, the Social Security exemption will merely make timely reform that much more difficult. Further, the exemption would provide an irresistible opportunity to turn the Social Security Trust Fund into the world's largest money laundering scheme.