"...anyone invoking rising life expectancy as a reason to delay Social Security benefits is, in effect, saying that aging janitors must keep working (or be cast into extreme poverty) because bankers are living longer."
Nikki Haley Is Coming for Your Retirement
- Thread starter cigaretteman
- Start date
Who are the Marxist leeches? I bet there are republicans that fit your narrative above???
With a projected $2 Trillion/year deficit, this is all just noise. I agree that a small tax increase would maybe solve one problem. The leak would just move to another spot.
The Trust fund is all noise anyway, SS outlays would be covered by federal tax revenue anyway.
The federal outlay/receipt process is just a political tool at this point, probably always has been
Hasn't the retirement age been increased since SS was originally established?
I'm not sure raising the cap helps with the math. If you contribute more, you'll also receive more. Unless they cap the payouts to be more of a welfare thing.
Regarding Haley, my guess is that this is just a way to sound somewhat fiscally responsible. Social Security isn't going to materially change, it's too popular, especially as the GOP becomes more and more working class, less affluent and more populist.
Yes, some people will definitely bitch about a welfare system that doesn't give them anything because they're not indigent. That's inescapable.
But that system will still be much more affordable than creating a system that funnels (some) money back to everyone, irrespective of need.
FDR understood he needed to make the Ponzi universal to make it politically appealing, but that's also largely why it's actuarially unsound.
Right now, instead of being fed by savings, and the earnings on those real savings, we have a system that actually fosters greater consumption by handing our payroll taxes over to Uncle Sam to consume now, with the promise he'll tax future generations even more to repay us.
The whole system is designed so dumb, I don't understand the appeal.
Good point. Where does that leave those working part time or gig jobs? Are they properly paying self-employment FICA?
I’m fine with a cap, but I don’t see why all types of income are not subject to the tax. Why not lottery winnings? Capital gains
My retirement money is not yours. If you want retirement money go out and get a job. Instead of trying to be a progressive activist.
Yes, when originally established in 1937 the retirement age was 65.
Life expectancy then for men was 58, for women it was 62.4.
The law says that SS is only funded by the payroll taxes.
That's what people are pointing to when they say that the exhaustion of the Treasury IOUs in the trust fund will mean only 77% of promised payments can be made.
The resolution will be a tax increase and benefit cut (both of which have happened dozens of times so far), and will continue as a greater negative 'investment' for everyone born after 1975 than it is today.
Most states do tax lottery wins.
By the time some winners are finished paying state and Federal taxes the jackpot is about 46% of what the advertised amount was.
I think current life expectancy in the US is 77. Retirement is 65.
Do people really think that 12 years of retirement before you die, after working for roughly 50 years, is too long? So we should make people work longer and closer to death?
From cradle to grave, you shall be a wage-slave.
Do people really think that 12 years of retirement before you die, after working for roughly 50 years, is too long? So we should make people work longer and closer to death?
From cradle to grave, you shall be a wage-slave.
So you don't think benefits should keep up with inflation?
I'm not into handouts, but if you don't keep up with inflation you are going to have millions of retirees struggling.
I retired at 68, took a year off and then got a part time job - and many fellow Boomers are doing just that. We were helped in finding jobs by a labor shortage these last few years, but the “back pocket money” earned allowed us to continue spending at almost our pre-retirement levels, which helps the economy as a whole.
That is not a bad thing.
Having the option to chose to work is freedom. Being forced to work due to poverty is servitude.
We look at this very different than most countries. Again, we do it wrong over here...because greed from the power people.
I don’t see it as “servitude” at all but I’ve always had a strong work ethic and I like having something to do.
Most Americans need to work to keep a roof over their head and food on their table, regardless of their age. I doubt many share your view on the “servitude” idea.
You can change jobs. You can “choose” to quit and starve or live on the streets. Or choose to be a burden to others who do work. Maybe that’s a form of freedom.
No, You look at it differently.
I’d like to hear about what you think is “greed from power people”. Who are they? Why are they greedy?
You don’t know me and I can only make assumptions about you based on prior posts. Suffice it to say, you and I see the world drastically different. And that’s not a bad thing or a shot at you. It’s a preface to my point…
We are not put on this Earth to work our lives away for a dollar so that someone else can get rich. Our country has its priorities so out of whack it’s disgusting. Work, work, work and spend, spend, spend. Leave your family for 40+ hours a week, spend little quality time together, incur debt, finance a house and car for a lifetime, and now work until you die. What a life!
If someone WANTS that life, by all means, go get it. More power to you. But we have a society now where everyone has to work relentlessly just to survive and some reap more rewards than others. I’m not opposed to hard work getting good rewards. But I am opposed to destroying families, communities, and health by working non-stop just to try to live a modest lifestyle while the people who profit and live lavishly tell the rest of us to work harder.
I work with a ton of people and I know so many that retire and die shortly after.
I'm retiring as early as possible and have been saving like crazy.
I'm the exact definition of delaying gratification.
I'm retiring as early as possible and have been saving like crazy.
I'm the exact definition of delaying gratification.
Me too. FIRE, baby!
But it’s taking its toll. I leave the house when it’s dark and I get home when it’s dark. Everyday. But I hope to be done working by 52-54.
Maybe you misunderstood me because I agree completely with what you just typed. 100%
Yeah, I know. I’m not arguing or talking about this thread. You and I see this issue the same. I was just commenting in general that you (from what I’ve observed over time from other posts) and I often have different views on things. But I think we probably agree on the same problems but differ on causes or solutions.
But on this, I’m completely in agreement. Working till death to survive is no way to live.
No. People like you in America look at it much differently than people do in the rest of the world. nolesincebirth basically just summed it up.
The top 1% and the Republican party who keeps them wealthy while the rest of us cheer for the little scraps we get is the problem. They are the they. You can't defend greedy corporations. We taxpayers bailed their asses out and they gave themselves raises and bought back their stock on our dime...or billions.
THAT'S what I'm talking about. Trickle down was bullshit yet many who vote Republican seem to think it isn't. They would be wrong...again.
Got it. Yeah, it bothers me how often a teacher will retire in their 60s and be dead within a couple of years...not getting to enjoy years of retirement. I'm sure it happens in every profession and I hate it.
We had a co-worker a few years ago who worked until she was 65 - because her husband said she needed to, for health insurance. She retired and within a month he dropped dead from a heart attack in their bathroom.
Those stories piss me off.
Does that estimate also factor the increased payouts or is it just the math on increased contributions to cover the same estimated benefit payments under the current design?
Average SS payment. $1700. Average rent $1400. Average food cost $215.
Wanna try again?
https://www.cbo.gov/budget-options/...t Office projects,be subject to payroll taxes.
Not sure what you're talking about with increased payouts. Social security has a max pay out no matter how much you made. Currently its 4,555 if you retire at 70. There is no amount over that no matter what you paid in Social security tax or earned.
The way I understood the system is that your benefits are proportional to your contributions. If you contribute less during your working years, you get less in your retirement years. If you contribute at the income cap, you receive the payout cap. It's equitable.
My thinking was that if you increase the income cap, you would also increase the payout cap, so that the system remains equitable, in terms of the link between benefits and contributions. As opposed to a system where the people who contribute more get proportionally less in benefits and subsidize those who contributed less.
Similar to the concept covered in the "Effects on the Budget" section in the link:
"Because Social Security benefits are tied to the amount of earnings on which taxes are paid, however, some of that increase in revenues would be offset by additional benefits paid to people with earnings above the maximum taxable amount under current law. On net, this alternative would reduce federal budget deficits by an estimated $670 billion over the 10-year period. If the maximum taxable amount was adjusted by a different amount, the change in revenues would not necessarily be proportional because earnings are not evenly distributed."
There is a maximum payout though. your benefits are proportional to earning...till you hit the maximum. Currently its 4,500 if you retire at 70 at the max level. That's it no more after that whether you earned $1 more than the minimum for that level or $100 million more. There is no $8,000 social security payout.
If you raise the cap, you wouldn't elimiante the maximum. So you'd get increase funding but still have a max.
Removing the payroll cap is the easiest way to give extra money to the pot to payout
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