Social Security Solvency: A Perspective - AZCentral
Considering all the media exposure the topic has received in recent years, you’re likely already aware that Social Security is facing some financial issues in the not-too-distant future. To be exact, 2033 is when the program’s Trustees currently project Social Security’s reserves will be depleted necessitating a cut in everyone’s benefits. This informative AZCentral article by Russ Wiles provides some perspective on the nature of the problem, potential solutions, and what will happen if nothing is done. Some quotes from the article: “pledges not to touch the system are akin to endorsing future benefit cuts” and “The policy of doing nothing undermines Americans’ confidence …. ” Click here to read the AZCentral article.
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 raising the thresholds at which 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.