Is Social Security Going Broke? - fingerlakes1.com
Well, no, it is not. But it is facing some serious financial issues which will come to a head in about 8 years, unless Congress acts soon to reform the program. Fact is, Social Security spends more money than it receives (from payroll tax on workers, income tax on benefits, and interest on SS reserves), which will result in an across-the-board cut in everyone’s benefit starting in about 2033. That is, unless Congress gets serious, puts aside partisan differences, and enacts reform which puts the Social Security program back on a solid financial future. All of this is discussed in this article appearing at fingerlakes1.com.
For its part, the Association of Mature American Citizens (AMAC) has been at the forefront trying to strengthen Social Security by developing and proposing its Social Security Guarantee which restores the program to solvency without raising payroll taxes. AMAC has been discussing and continues to discuss this common-sense solution with Congressional Representatives in its efforts to protect America’s senior citizens who rely on Social Security.
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 to meet the demands of 21st-century economics. AMAC’s position is that this can be achieved without payroll tax increases via relatively slight program modifications, including cost-of-living adjustment (COLA) process changes and modifications to the formulas for calculation of payments to higher-income beneficiaries. Changes to the age for maximizing benefits are included in AMAC’s position, along with (1) an increase in the thresholds where benefits are subject to income tax; (2) indexing of these thresholds annually to account for inflation; (3) improved survivor benefits, (4) eliminating the reduction in benefits for those choosing to work before full retirement age; and (5) improved savings tools for future retirees, including a savings account that builds estate value. 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.