Skip to comments.Scrapping payroll tax without replacement would hit Social Security benefits by 2021, actuary says
Posted on 08/26/2020 12:18:05 PM PDT by rintintin
Repealing the payroll tax as proposed by President Donald Trump without putting in place a new source of funding for Social Security would mean disability payments would end in mid-2021 and payments to the elderly would stop in 2023, according to the programs chief actuary.
(Excerpt) Read more at google.com ...
Easy fix. Print some more money. Seems to be the answer for everything else.
It’s in a LOCK BOX.
Then the elderly who can walk riot. Even in their wheelchairs if necessary.
Except it wouldn’t, cause it’s actually all the general fund, the whole separate balance for SocSec is a fiction.
This is going to be the democrats new tactic over the next few weeks, the old tried and true “push granny over the cliff”. They already tried in once with the easily disproved lie that changes in mail service would prevent granny from getting her Social Security check (all SS payments have been direct deposit since 2013).
How many times do the administration people have to say this: they want to defer the payroll tax and when they find a suitable replacement, forgive the tax that was deferred.
Did he actually propose scrapping it or just deferring it?
Social Security is a pay as you go cash-flow system, regardless of the accounting fiction of a trust fund.
Why? Because it holds no assets except IOUs from the government which has spent surplus funds.
Amazingly, before LBJ needed mucho money, Social Security actually held resalable financial assets (Top quality bonds). It was also much smaller.
Complete scare tactics nonsense...
Oh those mean Republicans, we told you they’d take your
Bull. When does welfare and food stamps run out of money?
No delegated power for Social Security and an illegitimate promise should not be honored....
It was a fiction the instant the program started.
President Trump’s plan is to temporarily “suspend” payments by individuals and then have the payments collected at a later date. I don’t know if employers would still have to pay their matching amounts.
There is supposedly a proposal, which I’ve not been able to confirm, that would terminate individual SS payments and use general fund revenue to pay SS to folks.
Ideally it would be kept in a separate account but I got a bridge to sell anyone who thinks this is the case.
New sources of funding? There are plenty. Start with the $1.6 trillion that China has owed us since 1916 or so.
President Trumps plan is to temporarily suspend payments by individuals
Actually, I heard him with my own ears say he wants to permanently eliminate the payroll tax if hes re-elected. Since its the payroll tax that funds Social Security and Medicare, I couldnt believe he was making that promise/threat just before an election. I understand Democrats are already running with this issue in retirement-heavy communities in Florida.
The money had already been spent.
The same entity cannot own a bond and owe the debt for it.
The government had kept double books since F-ingDRs time, something they would put you or I into jail for.
What LBJ started spending was not an asset, it was all valueless ink exactly offset by other in, or rather it was inflating the money supply on the sly. As usual that resulted in savers eating the loss of value.
Is it then a coincidence that when the funny money (even compared to the funny money from nothing it otherwise is) ran out in Reagans time that inflation came down and hasnt been that bad since?
This is another damned Democrat lie. They scrap federal tax and leave fica and state tax in. Of corse they have to scare seniors by saying this will effect SS. It wont.
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