Halting Social Security From Clawing Back Overpayments Will Further Hurt its Finances - AMAC & The Motley Fool
Social Security’s finances are in poor shape. That makes it important that the program do what it can to conserve funds and snag all the revenue it can get. One way it’s been trying to go about that is aggressively clawing back benefits as a result of overpayments, which often result as an error on the part of the program. The people who receive more money than they’re entitled to aren’t any the wiser. Thus, going after that money puts many seniors in a dire financial spot. Rep. Mike Carey (R-OH) has called for a congressional hearing on the program’s efforts to recoup overpayments. But Maurie Backman argues lawmakers really need to step up and focus on not just the program’s practice of recouping its money, but a long-term solution to Social Security’s financial woes. Full article here.
As an example of the leading thoughts on reforming Social Security, the Association of Mature American Citizens (AMAC, Inc.) believes Social Security must be preserved and modernized. This can be achieved without tax increases by slight modifications to cost of living adjustments and payments to high income beneficiaries plus gradually increasing the full (but not early) retirement age. AMAC Action, AMAC’s advocacy arm, supports an increase in the threshold where benefits are taxed and then indexing for inflation, and calls for eliminating the reduction in people’s benefits for those choosing to work before full retirement age. AMAC is resolute in its mission that Social Security be preserved for current and successive generations and has gotten the attention of lawmakers in D.C., meeting with many congressional offices and staff over the past decade.