Skip to main content

View Diary: AK-Sen: Lets Make Mark Begich's (D) Plan To Strengthen Social Security A Reality (71 comments)

Comment Preferences

  •  This the sensible solution. (3+ / 0-)
    Recommended by:
    rolet, elwior, a2nite

    The cap as it is now is arbitrary.  We could even lower the retirement age to 62, freeing up jobs for youth.  

    •  Giving my job to a youth? U got nerve. (0+ / 0-)

      I hope you dont mind if I want to fight you over that idea.

      Lets throw down.........

      FDR 9-23-33, "If we cannot do this one way, we will do it another way. But do it we will.

      by Roger Fox on Sun Jan 13, 2013 at 06:44:55 PM PST

      [ Parent ]

    •  Hardly arbitrary. (0+ / 0-)

      As part of the 1983 Reagan SS deal, the cap was set at 90%tile of income earners. Since 1983, the cap has been adjusted according to the CPI. It is now at 84%.

      The cap needs to be adjusted back to 90% (about 186k). This will increase SS benefits and revenues.

      We got the EITC because of the cap, remove the cap and you put the EITC at risk.

      FDR 9-23-33, "If we cannot do this one way, we will do it another way. But do it we will.

      by Roger Fox on Sun Jan 13, 2013 at 06:55:02 PM PST

      [ Parent ]

      •  Re: the EITC. (1+ / 0-)
        Recommended by:
        elwior

        How many in Congress even remember the correlation between the EITC and the cap? Also, the Repukes in this House probably already want to do away with the EITC, and don't need any encouragement.

        •  Right, lets not encourage the GOP (0+ / 0-)

          I'm down with taxing the uber rich.

          Lets add 6 more income tax brackets

          40% starting at 2mill
          41% @ 4mill
          42% @ 6mil
          43% @ 8mill
          44%@ 12mill
          45%@ 24mill
          46%@ 48mill

          Or even repeal the Reagan tax breaks and the 1986 Tax Reform Act.

          Lets raise cap gains to 30% even 33%.

          The institutional memory of congress is full-proof, an individual's memory is not important. IF we start taking FICA from folks who earn money from capital, theres gonna be a shitstorm, cause they can get a better return on their money than what they get from FICA in the way of benefits. And you can rest assured the uber rich will feel entitled to that money, and that we owe them.

          You may feel there is little or no chance that removing the FICA cap will put the EITC at risk, I disagree.

          According to the SS Trsutees report, in the low cost scenario, the trust fund will not be depleted thru 2090. This is based on job creation, wage growth as the 2 largest drivers of FICA revenues in the next 20 years.

          The 2033 date is based upon 20 more years of recession, which would make the current the longest economic downturn since the black plague killed off half the humans. Its the Mad Max Scenario.

          If that happens I wont be worrying about getting a 75% payment on my SS benefits cause the banking system will have already collapsed.

          Create job, raise the min wage and leave SS alone.

          FDR 9-23-33, "If we cannot do this one way, we will do it another way. But do it we will.

          by Roger Fox on Mon Jan 14, 2013 at 11:18:56 AM PST

          [ Parent ]

      •  Why is the EITC tied to SSI (2+ / 0-)
        Recommended by:
        SouthernLiberalinMD, Roger Fox

        EITC has to to with income tax on earned income.  Social Security benefits are a separate entity.  I realize republicans want to conflate them and they may have had a tied in the past.  They are very different taxes.

        •  How did we get the EITC in 1975? (0+ / 0-)

          Originally designed to reward those who were in poverty and took a job, we wanted to help those families. And since FICA is regressive... the EITC would take the sting out of the regressive nature of FICA tax on these families in poverty.

          In the eyes of the GOP, if we remove the SS income cap, we no longer need the EITC.....

          And since FICA is not a tax that goes into the general revenue fund, I dont compare FICA to a progressive income tax system. IF we're going to tax the rich do it the right way, Estate tax, income tax capital gains tax.

          Create jobs and raise the min wage, thats a big increase in FICA. and leave SS alone.

          FDR 9-23-33, "If we cannot do this one way, we will do it another way. But do it we will.

          by Roger Fox on Mon Jan 14, 2013 at 11:39:35 AM PST

          [ Parent ]

          •  I am all for lowering tax rates (1+ / 0-)
            Recommended by:
            Roger Fox

            on middle and lower income brackets.  I agree that that rates on estate and capital gains have to increase, whether it's graduated or not (I'd prefer to graduate the capital gains and estate to protect the small investor and the middle class with small estates under $1 million).  Jobs would increase revenues and the recession is a small part of the deficit.  The tax cuts were a much larger part.

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site