Social Security Out of Funds by 2023? Not at all likely.
Much is in the news these days about Social Security having no income source to pay benefits by 2023. That would be the case if President Trump was able to eliminate the payroll tax completely AND no alternative source of funding were provided (like general tax revenues). As Christy Bieber explains, only Congress can change or eliminate the payroll tax. The chance of that would appear to be zero given divided government and all of Social Security’s long term financing issues that members of Congress do understand. Every past temporary payroll tax cut has involved diverting the equal amount of funds from general revenues so there was no adverse impact to Social Security’s Trust Fund. Read her full article here.
The Association of Mature American Citizens (AMAC) believes Social Security must be preserved and modernized. This can be achieved by making modest changes in cost of living adjustments and the retirement age, with no additional taxes on workers. AMAC advocates for a bipartisan compromise, “The Social Security Guarantee Act,” taking selected portions of bills introduced by former Rep. Johnson (R-TX) and current Rep. Larson (D-CT) and merging them with the Association’s own well researched ideas. One component is Social Security PLUS, a new, voluntary plan that would allow all earners to have more income available at retirement. This component is intended to appeal especially to younger workers. AMAC is resolute in its mission that Social Security be preserved and modernized and has gotten the attention of lawmakers in DC, meeting with a great many congressional offices and their staffs over the past several years. Read AMAC’s plan here.