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A Case for Reducing the Taxation of Social Security Benefits

In an opinion piece published by MarketWatch, the issue of how large the portion of Social Security benefits subjected to federal income taxation should be is addressed. The article is written by Alicia H. Munnell, director of the Center for Retirement Research at Boston College, and begins with a recap of the history of when the provisions for this tax occurred, and concludes with the premise that because the employer portion of the Payroll Tax is considered pre-tax and the worker portion is after-tax, a similar handling of the federal tax on the benefits paid out would be more appropriate. Read Ms. Munnell’s post here…

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