Letter: Reducing Social Security benefits will increase poverty in America, which will increase the demand of government services in other programs, such as food stamps and low income housing.
FILE - In this May 8, 2008 file photo, blank U.S. Treasury checks are seen on a roll at the Philadelphia Financial Center, which disburses payments on behalf of federal agencies, in Philadelphia. titled “We have a solution to looming Social Security shortfall,” Utah state Sen. Todd Weiler states the Social Security Trust Fund will be “insolvent within the next decade” requiring a reduction of 23% in benefits.
There are many private and government studies about solving the Social Security problem. We don’t need another study. There are several realistic solutions: First, the government could refund to the SSTF the interest it failed to pay when it borrowed from the SSTF at below market rates. Repay the difference had the government paid market rates. Second, remove the cap on earned income. Third, tax unearned income. Finally, use general revenue funds to fund SS benefits.
Reducing SS benefits is not a good solution. For individuals currently receiving SS benefits, the average SS monthly payment in 2023 is $1,693.88. This is an average and many individuals do not receive even this amount. The maximum benefit for individuals age 67 retiring in 2023 will be about $3,627. For most individuals, SS benefits are their primary, if not only, source of income.
Reducing SS benefits will increase poverty in America. An increase in poverty will increase the demand of government services in other programs, such as food stamps and low income housing. The American economy is consumer driven. SS beneficiaries spend a greater percentage of their income for goods and services than higher income individuals. Reducing their spending will reduce consumption. Keeping SS payments up benefits the economy.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
CFTC to Review Prediction Market Kalshi’s Contracts to Bet on Control of CongressThe CFTC is getting set to go another round with prediction market Kalshi's contract submission to allow user to place bets on the outcome of U.S. congressional elections. jesseahamilton reports
Read more »
Rep. Terri Sewell visits Uniontown for “Congress in your Community” tourCongresswoman Terri Sewell was in Uniontown updating her constituents on the latest in Congress while figuring out their needs.
Read more »
'Unabomber' Ted Kaczynski Rails Against U.S. in Never Before Seen LetterUnabomber Ted Kaczynski was more than a domestic terrorist mailing package bombs around America -- he was also a staunch proponent of the First Amendment to the Constitution, at least according to the madman himself.
Read more »
Lady Gaga reveals why she’s been ‘so private’ lately in open letter to fansIn a lengthy open letter with her 55 million Instagram followers on Friday, the 13-time Grammy winner acknowledged her absence from the spotlight.
Read more »
Congress marches toward September budget showdown to avert government shutdownMcCarthy's challenges are just beginning as GOP infighting raises concerns about the budget deadline in September, when Congress must approve spending or face a government shutdown
Read more »
Global Tax Mess Awaits U.S. Companies, and Congress Isn’t HelpingU.S.-based multinational companies face a slow-brewing tax squeeze over the next few years. Congress is deadlocked over what to do.
Read more »