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Old 11-04-2013, 10:24 AM
 
9,193 posts, read 9,273,624 times
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The results of this survey are essentially that no one wants to change anything about social security. They don't want to raise the retirement age. They don't want to change the method that COLA are calculated by going to "chained CPI".

This leaves me wondering how we are going to pay for all of this.

However, the one change that did receive majority support was removing the earnings cap on social security taxes, so that higher earners pay more.

http://www.dailyfinance.com/2013/11/...urity-changes/
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Old 11-04-2013, 10:43 AM
 
5,392 posts, read 6,535,307 times
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Quote:
Originally Posted by markg91359 View Post
The results of this survey are essentially that no one wants to change anything about social security. They don't want to raise the retirement age. They don't want to change the method that COLA are calculated by going to "chained CPI".

This leaves me wondering how we are going to pay for all of this.

However, the one change that did receive majority support was removing the earnings cap on social security taxes, so that higher earners pay more.

Poll: Older Americans Say 'No' to Social Security Changes - DailyFinance
kind of typical. don't change mine but get the next guy

i wish we were more problem solving and less push it off on someone else to pay
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Old 11-04-2013, 10:46 AM
 
Location: Miraflores
785 posts, read 893,614 times
Reputation: 1531
Shocking!
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Old 11-04-2013, 10:50 AM
 
Location: Jamestown, NY
7,841 posts, read 7,328,515 times
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Quote:
Originally Posted by markg91359 View Post
The results of this survey are essentially that no one wants to change anything about social security. They don't want to raise the retirement age. They don't want to change the method that COLA are calculated by going to "chained CPI".

This leaves me wondering how we are going to pay for all of this.

However, the one change that did receive majority support was removing the earnings cap on social security taxes, so that higher earners pay more.

Poll: Older Americans Say 'No' to Social Security Changes - DailyFinance
Removing the earnings cap would be one way.

So would implementing Al Gore's idea of a "lockbox" so that excess SS funds remain untouched. If that had been done back when he suggested it, there wouldn't be much of a problem now.
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Old 11-04-2013, 11:04 AM
 
897 posts, read 1,521,768 times
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Bump up the earning cap and give the high earners $.50 on the dollar of additional benefits. Force people to start taking out of their 401K and IRA before 70.5 to get some tax dollars into the system. Make IRA and 401K withdrawls effective March rather than before the end of the year.

Baby steps but steps in the right direction.
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Old 11-04-2013, 07:12 PM
 
Location: Grove City, Ohio
10,133 posts, read 12,385,819 times
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Quote:
Originally Posted by Linda_d View Post
Removing the earnings cap would be one way.

So would implementing Al Gore's idea of a "lockbox" so that excess SS funds remain untouched. If that had been done back when he suggested it, there wouldn't be much of a problem now.
This works and works well. Removing the caps based on 2011 income because that is the last year available.

Wage Statistics for 2011

Cap on SS earnings in 2011 was $106,800 but to make the math easier let me use $105,000.

Combined tax rate (employee/employer) was 15.30%

There were 945,576 people earning above $105,000 for an aggregate earning of $1,963,927,915,562.26. (That's just under 2 trillion)

But of that $1,963,927,915,562.26 there was 945,576*$105,000=$99,285,480,000.00 where tax was already paid (the first $105,000) which leaves $1,963,927,915,562.26-$99,285,480,000.00=$1,864,642,435,562.26 that hasn't been taxed yet.

Let's tax it!

$1,864,642,435,562.26*15.03%=$285,290,292,641.03 (that's 285.3 billion).

On Aug 5, 2011 the CBO projected that in fiscal year 2011, Social Security's outlays will total $733 billion

Tax revenues credited to the program will total $687 billion in fiscal year 2011 for a total deficit of $46 billion.

If this was implemented in 2011 social security would have had a surplus of $246.3 billion instead of the $46 billion loss.

I admit my numbers will be a little off but not all that much.

This works and works well but Obama's cronies and campaign contributors will not like it. Rather than pay extra they just as soon see everyone work to age 80 and beyond!

We need to raise the cap to whatever income there is, tax it and the system is solvent. This tax I like because it is not a tax on investment but on individual income.

And raising the retirement age is pure BS. It's unfair especially to the guy who has worked his entire life doing manual labor because a lot of these people simply can no longer do the job at age 62 much less 66 or 67. I am 65 and will attest between age 60 and 65 I really felt my age as never before in my life.
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Old 11-05-2013, 08:27 AM
 
Location: in the miseries
3,302 posts, read 3,579,794 times
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They should change it for the people retiring in 10 years to keep ss viable.
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Old 11-05-2013, 08:59 AM
 
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read the last SS trustee report and they tell what will happen by SS law. They estimate the across the board automatic cuts amount and when.
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Old 11-05-2013, 09:01 AM
 
Location: location, location!
1,915 posts, read 1,735,479 times
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Quote:
Originally Posted by markg91359 View Post
. . . no one wants to change anything about social security. They don't want to raise the retirement age.
SS Only works if people trust it. You work all your life, getting taxed for SS but with the promise that when it's your turn, you'll receive a certain benefit. Those were the rules we were given, and of course we aren't happy about any attempts to change the rules after we've been playing the game for so long.

So when folks want to chip away at the benefits, raise the age when you can collect, penalize those of us who were smart enough to save some money on the side, well, the "trust" part of the equation goes out the window. And if someone in their late 50's like me is having trust issues with SS, just imagine the 20-somethings, just out of college, facing a lifetime of paying into SS with a lot of doubt about whether they'll ever collect. At least I had a bunch of blissfully ignorant years when I didn't have to worry about SS. Yes, it's a bit of a Ponzi scheme, but for those of us working our way to the top of the pyramid, we surely don't want the younger generation who will be paying our benefits to bail.
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Old 11-05-2013, 09:09 AM
 
9,193 posts, read 9,273,624 times
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Quote:
SS Only works if people trust it. You work all your life, getting taxed for SS but with the promise that when it's your turn, you'll receive a certain benefit. Those were the rules we were given, and of course we aren't happy about any attempts to change the rules after we've been playing the game for so long.

So when folks want to chip away at the benefits, raise the age when you can collect, penalize those of us who were smart enough to save some money on the side, well, the "trust" part of the equation goes out the window. And if someone in their late 50's like me is having trust issues with SS, just imagine the 20-somethings, just out of college, facing a lifetime of paying into SS with a lot of doubt about whether they'll ever collect. At least I had a bunch of blissfully ignorant years when I didn't have to worry about SS. Yes, it's a bit of a Ponzi scheme, but for those of us working our way to the top of the pyramid, we surely don't want the younger generation who will be paying our benefits to bail.
Perhaps, but you do realize that to survive it does have to change, don't you?
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