Monday a new report came out for how long social security can last. Presently SSI will need cuts in 2033 - the trust that finances it will empty that year and be funded only by FICA. Current report says benefits will be cut by 21%.
Disability goes from a different fund that stays solvent until 2098.
Medicare is in better shape than last year's report - the trust fund will stay solvent until 2036 - 5 years longer than last year.
How do we fix it?
Cutting benefits won't pass obviously.
Raising the age might work - going from 65 to 67 back in the 80s reduced payouts by 13%. Raising it again to 70 would reduce lifetime payouts by about 20%. But raising the retirement age to 70? Does anyone have the political will to do that??
Why not drop the $168k tax cap? The CBO says that would earn $1T over the next 10 years!
The easiest would be raising the 6.2% FICA.
I don't think anything will become law if DJ wins.
I doubt anything will pass if R takes control of congress.
Disability goes from a different fund that stays solvent until 2098.
Medicare is in better shape than last year's report - the trust fund will stay solvent until 2036 - 5 years longer than last year.
How do we fix it?
Cutting benefits won't pass obviously.
Raising the age might work - going from 65 to 67 back in the 80s reduced payouts by 13%. Raising it again to 70 would reduce lifetime payouts by about 20%. But raising the retirement age to 70? Does anyone have the political will to do that??
Why not drop the $168k tax cap? The CBO says that would earn $1T over the next 10 years!
The easiest would be raising the 6.2% FICA.
I don't think anything will become law if DJ wins.
I doubt anything will pass if R takes control of congress.