Yawn. What happens if they get rid of the cap?I’m trying to answer your question, but I have to first know what level of understanding you possess. If you didn’t understand why a Ponzi fails, I wouldn’t expect you to understand why SS is a bad deal.
You misunderstand.
Due to the tax rate currently enjoyed by those born 1975 and after, and the scheduled set of benefits, those folks are already facing less than a dollar of benefits paid out for each dollar they’ll pay in.
In addition to that, the outlays will exceed ‘contributions’ such that the IOUs held by the Treasury will be exhausted in 2034. Current assessment is that taxes will cover 77% of scheduled benefits beyond that point. Current law dictates that SS is funded from the payroll tax only, so a cut to benefits is already baked in.
I fully expect they’ll raise taxes and cut benefits, most likely moving retirement age (further screwing blacks) and/or introducing means testing.
Our children will not be so lucky as to see this Ponzi ended. Too few understand how it works, and the people that benefit coincidentally are the most likely to vote.
This will be good. LOL