The FICA max IIRC is 103K. Are they going to collect the full %age amount from the >400K earners plus an additional 2%? That would make those people eligible for some pretty hefty SSS payments when they retire. I believe the SSS Act is pretty clear that the %age of the payroll tax is equal across the board up to the cutoff. It would seem they would have to rewrite the entire Act to pull this off. Now the idea of my obnoxious cousin having to pay so I can receive 75% of my late wife’s benefit is attractive but it’s unfair and just another attempt to redistribute income. If they want to be fair, my wife paid in 200K and collected 61K before she passed last year. Give me the difference. If it was in a TDA, Annuity, or 401K it would be my money.
“That would make those people eligible for some pretty hefty SSS payments when they retire.”
Oh no, they are going to make SS “means tested” so those that put so much in won’t get anything back. Even the conservatives are talking about that.