Why Social Security is underfunded—and why it matters - Forbes Advisor
The Social Security program protects against the loss of earnings due to retirement, death, or disability. The financial operations of this program are handled through the Old-Age and Survivors Insurance (OASI) and Disability Insurance (DI) Trust Funds. Both funds are financed primarily by contributions, or taxes, paid by employees, their employers, and self-employed persons. Other sources of income are interest on investments and income from the taxation of benefits. However, Social Security is struggling, but it will not go bankrupt. Taylor Tepper explains why Social Security Is Underfunded—and why it matters, and some ways Congress could fix the issue if they so choose. Read Mr. Tepper’s article here…
AMAC believes Social Security must be preserved and modernized. This can be achieved with no tax increases by changing cost of living adjustments, the retirement age, and delayed credits. 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 research. One component is Social Security PLUS, a voluntary plan to allow all earners to have more income at retirement. This component is intended to appeal especially to younger workers. AMAC is resolute in its mission that Social Security be brought into the 21st century and has gotten the attention of D.C. lawmakers, meeting with many congressional offices and staff over the past several years. Read AMAC’s plan here.