accounts run by the Treasury Department that take in payments to the Social Security system, pay benefits and administer the program. The Social Security Trust Funds are made up of two accounts: the Old-Age and Survivors Insurance (OASI) Fund (which pays benefits to retired workers, their dependents and their survivors) and the Disability Insurance (DI) Fund (for disabled workers and their families).
Accounts that are designated by law to carry out specific purposes and programs. Trust Funds are usually financed with earmarked tax collections.
Funds used to account for assets held by a government in a trustee capacity for individuals, private organizations, other governments and/other funds.
Accounts established by law to hold receipts that are collected by the federal government and earmarked for specific purposes and programs. These receipts are not available for the general purposes of the federal government. The Highway Trust Fund is composed of receipts from certain highway user taxes (e.g., excise taxes on motor fuel, rubber, and heavy vehicles) and reserved for use for highway construction, mass transportation, and related purposes.
Used to account for assets held by a government in a trustee capacity. Expendable Trust Funds and those whose principal and income may be expended in the course of their designated operations. Nonexpendable Trust Funds are those whose principal must be preserved intact. Interest earned on the principal may be expended.
Government funds that are designated by law as trust funds (regardless of any other meaning of that term). Trust funds account for the revenues, offsetting receipts or offsetting collections, and outlays that result from the implementation of the law that designated the fund as a trust fund. The federal government has at least 130 trust funds. The largest and best known finance major benefit programs (including Social Security and Medicare) and infrastructure spending (the Highway and the Airport and Airway Trust Funds). See offsetting collections, offsetting receipts, outlays, and revenues; compare with federal funds.
Government funding placed into a special account to pay for specified programs. Some or all of the funding placed into these accounts is invested. The interest earned from the investments is redeposited into the account. Money for a trust fund can come from a variety of sources. In some instances, specific taxes are levied solely to create funding for a trust fund. Funding also can come from a sudden windfall that a government might receive, such as tobacco settlement monies. Back to the top
Trust funds are Government accounts, set forth by law as trust funds, for revenues and spending designated for specific purposes.
Funds collected and used by the Federal Government for carrying out specific purposes and programs according to terms of a trust agreement or statute, such as the Social Security trust funds.
Funds owned by affiliated yet legally separate entities, for which the University provides book keeping services.
