Biden's Social Security and SSI plan would lift 1.4 million out of poverty, study finds

[SheltieLover]

https://finance.yahoo.com/news/bidens-social-security-and-ssi-plan-would-lift-14-million-out-of-poverty-study-finds-200534985.html

Joe Biden’s plans for Social Security and Supplemental Security Income would lift 1.4 million Americans out of poverty in its first year, a new analysis found, along with guaranteeing the payout of full benefits for another five years.

The former vice president’s plan hinges on imposing the 6.2% Social Security tax on earnings above $400,000. Employees and their employers are taxed on earnings up to $137,000 under current guidelines.

If enacted next year, Social Security would collect 7% more in revenue in 2021, 12% more in 2040, and 16% more in 2065 than under current law, according to the analysis. That would allow Biden to move forward on a seven-pronged plan to increase benefits for Social Security and SSI recipients.

More at link.

[FM123]

1. This needs to be shouted from the rooftops. Daily!

Ooh, maybe we can get Katie Porter to do a "whiteboard" video on this like she did on the other:
https://www.democraticunderground.com/100214323620#post10

[KS Toronado]

2. All seniors should vote for Joe & Kamala for this reason alone.

[BeckyDem]

3. K&R So many people are suffering right now.

[Yo_Mama_Been_Loggin]

4. Kick

[Sherman A1]

5. K&R

Sounds great to me!

[oldsoftie]

6. I dont know why its been so hard to raise the cap.

I think a large majority of the population would support it. And it would help a GREAT deal

[OneCrazyDiamond]

7. He is doing more then just removing the cap.

He is expanding benefits. Under his plan it will put off the funding shortage by about 5 years.

Future of Social Security
While Biden’s plan doesn’t solve the long-term funding issues for Social Security, it does delay them. The analysis found that by taxing earnings above $400,000, the surplus in the Social Security trust fund wouldn’t deplete until 2040, five years longer than estimated. After that, the system would collect enough money to pay out four-fifths of scheduled benefits.

His plan could have preserved the surplus longer — closing 70% of the funding gap — if it didn’t include these new enhancements, especially the change in the way cost-of-living adjustments were calculated, the study found.

[panader0]

21. Yeah--so unfair. Those same people who now make over $137,000

still get to collect Social Security when they retire. Millionaires collect it, paid for by the
people who make much less. Helluva system. There should never have been a cap.

[Grins]

8. NO!!!!!

Raising the cap to $400k is just a bandaid.

Pull the cap completely. Don’t have a cap at all!

Republicans only want tax cuts and would shit a tire iron before raising income taxes to pay the General obligations of government. So rather than do that, they have been borrowing SS money to pay those obligations. Meaning, those above the cap have not had to pay for the things that benefit us all. Those under the cap did! Raising the cap to $400k just means those making more than that are let off the hook.

[Bengus81]

11. Yep...it STILL favors the richest of the rich. WHY??? Those FUCKS can pay on ALL their income

Like I did for 47 years. In fact for 40 of those years I paid DOUBLE because I was self-employed.

[tormadjax]

16. The benefit amount a person gets is related to what they paid in

If someone pays on all their income, say a person making a million a year, then when they receive their benefits their benefit amount will be that much higher.

Unless you want to cap how much can be paid out no matter how much was paid in. That's not the SS program as it is set up now.

[Bengus81]

19. Wrong. There is a maximum that Social Security will pay to anyone regardless of income

In 2021 that amount will be $3895 and you have to wait until your 70. Those rich asses can pay on ALL their income just like someone working at Walmart for $11.00 per hour can pay on ALL of their income. This BS where the rich skate out of paying into SS just days after Jan 1 or even a month into the new year needs to stop.

I paid in all my life 52 weeks per year and 40+ years of paying double because I was self employed. Then a POS like Limbaugh with a $37M contract is done paying into SS on January 1 of each year.



Qualifying for Social Security at age 62 requires 10 years of work or 40 work credits.


The maximum monthly Social Security benefit that an individual can receive per month in 2021 is $3,895 for someone who files at age 70.


For someone at full retirement age, the maximum amount is $3,113, and for someone aged 62, the maximum amount is $2,324.

[tormadjax]

23. No. The benefit amount is tied to the income that SS taxes are laid upon

If you raise the income cap then the benefit cap is raised right along with it. That is the SS system as it is configured now.

Now, if you want to remove the cap on income that is SS taxed and leave the benefit cap in place, that will require significant enabling legislation and it will not be the SS system that is in place today, and has been in place for the last 80+ years.

[oldsoftie]

13. So you say no even if thats the best he can do?

Its a start. A good one.

[Sherman A1]

17. Agreed

It is a start, but the CAP needs to go. A cap or means test on benefits that can be received is okay with me. The wealthy can afford to pay in more and receive less on the other end.

[oldsoftie]

24. I'm with you. But every time I suggest that, people here go nuts.

I've LONG advocated for a means test. At the least, give the wealthy a certain amount that ends at some point, since they DID pay in. I mean, dont the very rich still have to sign up for Medicare when they hit 65?
But every time i bring it up, i'm told "thats the first step to getting rid of the whole program". I dont buy it

[Sherman A1]

25. I don't buy it either

The folks with limited resource need the SS payments each month, the folks at the top really don't. Certainly they pay in and should get something, but they really don't need it as much as the people of lesser means.

A means test seems reasonable to me.

[Rebl2]

15. YES! No cap at all!

[Lucinda]

9. KNR

[lagomorph777]

10. And Trump's defunding of SS will throw tens of millions INTO poverty.

[Bengus81]

12. It will make most have to sell their home--paid for or not

Go from living in a comfortable paid off home you worked your ass off to achieve to living in a rental duplex somewhere because of Trump and Republicans.

FUCK all of them.............

[Sherman A1]

18. Agreed,

But, there is always Tom Selleck and his Reverse Mortgage Scam thing available for those that need it.



After all Tom wouldn't screw you over, you can trust him........

[Bengus81]

20. You ever checked into AAG and those RM??

Read the reviews on how they waste peoples time by dragging out an application for months and then just blowing you off without ever giving you a yes or no. Then having to take "classes" on money management if they decided to give you a few bucks.

I read them a year or two ago and was shocked at the reviews. But...it puts millions in Selleck's pocket pretending he cares about ordinary seniors.

[Sherman A1]

22. No, I never checked into them as I figured they were a scam from the get-go

under the heading, "if it is too good to be true..........."


But, really we are here on this planet just to help out the folks like Tom Selleck and the ones on the endless car repair insurance commercials.

[Rebl2]

14. Absolutely!

Many people don’t realize this fact. My republican sister didn’t until I told her a few years back. She was very surprised to learn that. I didn’t know until about it until about 10 years ago. It’s not fair. The people who make the least get taxed, while those who make the most only get taxed up to $137,000. Ridiculous.