Posted on 04/08/2024 8:59:17 AM PDT by SeekAndFind
What happens when one of the major political parties suggests the most modest of reforms to the benefits future Social Security beneficiaries will receive?
The other major political party goes ballistic.
Such were the atmospherics when the Republican Study Committee (RSC) played against the prevailing type with the GOP so far and issued a plan that included tweaking the retirement age.
According to the RSC plan, the changes are intended to “prevent Biden's cuts to Social Security.” Setting aside who would be responsible for any future benefits cuts – which are all but assured if no one does anything now to avert them — the plan attempts to cover its political bases as thoroughly as possible, noting that then-Sen. Joe Biden supported earlier tweaks to the Social Security system that raised the retirement age from 65 to 67 :
When President Biden served as a Senator in 1983, “…he was directly involved with one bipartisan compromise that became law and kept Social Security solvent for decades.” He, other Democrats, and Republicans came together in a bipartisan fashion to address Social Security's solvency issues at that time. Biden voted to raise the retirement age from 65 to 67, tax Social Security benefits for the first time, and delay cost-of- living adjustments to preserve the solvency of the OASI trust fund.
The new proposal suggests:
…delayed changes to the Primary Insurance Amount (PIA) benefit formula, the retirement age, auxiliary benefits for high-income earners, and gradually moving towards a flat benefit.
It also urges all sides to come together and discuss reforms like adults and statemen, which is asking a great deal from the current bunch of time servers in the White House and Congress.
Too much, it seems, as Team Biden preferred to throw mud rather than talk:
…the Republican Study Committee – which represents 100% of House Republican leadership and nearly 80% of their members – just proposed yet another budget that would cut Medicare, Social Security, and the Affordable Care Act, as well as increase prescription drug, energy, and housing costs – all while forcing tax giveaways for the very rich onto the country. Their plan would even raise the Social Security retirement age.
“Raise the Social Security retirement age…” just like Joe did way back in the day.
It's naïve to hope that the major parties would discuss such important fiscal matters in an election year (or any other year, really). But one might still hope that at some point, such discussions will happen despite the base instincts of pols and their handlers.
That point will come…sometime around 2033 or so when there won't be enough money to pay current beneficiaries…and their monthly checks will be cut. Act now, or cut later.
Come on people, we have to pay for free housing, healthcare, food, education, bus and plane rides for illegals.
At this point Social Security is outright theft.
L
“It’s naïve to hope that the major parties would discuss such important fiscal matters in an election year (or any other year, really).”
And stupid to propose it.
SS will be fixed after it fails, not before.
Their current ‘solution’ is to kill off as many SS recipients as possible with the Vaxxes and the high inflation taking away their life savings......................
Modest? LOL
RE: SS will be fixed after it fails, not before.
That’s like saying we’ll fix the house after the termites have eaten most of the foundation instead of calling in the exterminators as soon as possible.
If it fails, its because a whole lot of payments go out to people who never paid into it.
“the changes are intended to “prevent Biden’s cuts to Social Security”
Anyone who thinks that’s the way it will play out is insane.
It’s always the (R)s, being the responsible ones in the room, messing with the third rail. And it’s always the (D)s putting it, w/ false spin, on the bulletin board and campaigning on it. Remember the Cadaver’s use of Rick Scott’s musings as “the policy of my opponents — not a joke; I have it here in writing”, ad nauseam.
The only way SS gets fixed is for it to implode. Sad, but it’s the truth.
I agree-—it’s another “tax” or “fee” that you can’t opt out, used as a slush fund and used for political pandering. That’s my money so give it back to me NOW!
The corruption of the Social Security system and misspending of funds there is THE BASIS for my problem with the Federal government.
First of all, it’s essentially fanciful to call 27% of the electorate a “major political party”. But I understand how difficult fringe status is to accept.
Second, it works like this. Money comes into SS and money goes out. That balance of flow has been negative for some time. The way the total benefits are still being paid is via the accumulated Trust Fund of decades past.
That Trust Fund will hit zero in about 7 years.
At that point, theoretically, outflow will be limited to tax influx. This will be about a 25% cut in benefits (outflow).
Here are the proposals to fix it:
1) Raise the retirement age for FRA (Full Retirement Age). This has happened before. It’s not a new proposal.
2) Increase the FICA rate on currently working people.
3) Reduce benefit payout. That 25% mentioned above would be the number only if the reduction is evenly distributed across the entire population of people receiving SS. Odds are about 99% any such benefit reduction would be concentrated at the higher end of income and NOT evenly distributed.
4) Raise the income/salary limit at which FICA is no longer collected.
5) Increase the population of Soc Sec payers. This does not have to mean more immigration. There are many state government employees and teachers who are not in the Soc Sec program, but if you add them in order to collect more FICA, then those people will one day add to benefits collection.
6) A combination of above.
Something akin to Algore's "lockbox" is needed to make sure that today's Social Security surplus is held in reserve for future shortfalls in the program.
This raises the deficit because Congress can't raid the Social Security piggybank and spend the money elsewhere, leaving nothing but worthless IOUs in the Social Security acount. But it will ensure that Social Security remains solvent for a much longer time.
Another way to extend the life of Social Security is to means-test for payout of benefits, and remove the cap on the amount of income that has to pay Social Security tax, which is currently limited to the first $160,200.
it is a 100% CERTAIN political loser.
100% certain.
Why piss into the wind? So you can virtuously claim you’re doing the right thing even though nobody will join you?
A lot of good could be done by conservatives while they wait out the ultimate failure of SS. But if they try to “fix it” they’ll not have the opportunity to do any good whatsoever.
A recent American tinker article suggested it cannot be done during an election season. Can’t even be brought up as a topic. They’ll have to do it only after a majority in both houses is won including the WH. W tried it after his ‘04 victory.
There will be no help from the generation Z’s. It will effect them the most but they’re out to lunch. Perhaps an election year promise to eliminate taxes on SSI.
Would it work with a filibuster?
Don’t all Illegals get Social Security as soon as they show up in the US no matter what age ?
SCOTUS has ruled repeatedly that it is not “your” money and that SS is just another tax no matter what the politicians say. The government is under no legal obligation to give any of us one red cent.
L
It’s all lies, all produced and directed by the corrupt running government who looted, subverted and destroyed everything.
I want every nickel I put into social security. No cuts. Cutting what I am entitled to get is theft.
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