lindajoy wrote:
Correct me where needed but isn’t it also true that Reagan enacted a payroll tax hike to prepare for the retiring baby boomers, and a surplus began to build.???
By law, the U.S. Treasury is required to take the surplus and, in exchange, issue interest accruing bonds to the Social Security trust funds. The Treasury, meanwhile, uses the cash to fund government expenses, though it has to repay the bonds whenever the Social Security commissioner wants to redeem them?? So in effect the monies paid by the workers and who are entitled to the funds is basically insured by the Treasury who has to pay via the bonds if funding is low?? Is funding really diminishing when its bond is protected by the Treasury which is really the Federal Reserve??
People live longer, poor planning and consideration of growth and all those out of work, not paying their tax didn’t help either....
Do you, Jim, believe SS funds will cease by 2035 or 2036 as they claim?? I do not....
Correct me where needed but isn’t it also true tha... (
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No. I don't believe they will cease unless of course the Chinese decide to mess with us. The fix's being discussed is to raise the retirement age to around 70. There goes your delayed credits strategy. Tax all income instead of up to a certain amount. And of course lower the thresholds of what amount does your SS become taxable. For instance, a single person bringing in less than $25000 a year pays no tax on his SS.