Under the proposed reductions, young workers who now earn about $36,000 would face a 16 percent cut; those earning about $58,000 would face a cut of 25 percent, and those earning $90,000, 29 percent. People not yet in the work force would face even larger reductions.
Mr. Bush says these cuts would enable the system to continue paying benefits at the current level to the 30 percent of recipients who now make less than $20,000. But fully two-thirds of retirees rely on Social Security for more than half of their income. Moreover, the Bush plan gives the false impression that the wealthiest beneficiaries would bear the most pain. That's not the case. The wealthier one is, the lower the percentage of retirement income coming from Social Security, so even a big cut has little impact.
Time Editorial
The upper-income taxpayer already has money -- SS is a nice supplement, but not necessary.
Meanwhile, the middle class -- whose wages are already stagnant -- would lose their primary source of retirement money. Wow -- great idea. Where do I sign up?
The middle class is already having fixed expenses take more and more of his paycheck by:
1.) Medical insurance that continually uses higher and higher deductible policies taking more after-tax income.
2.) Presecription drug prices that increase faster than inflation.
3.) Energy prices that continue to increase.
4.) Housing prices that are placing homes out of reach for some and higher mortgage payments that take a larger and larger share of an ever-dwindling paycheck.
5.) Education expenses that make a college loan a form of lifeling servitude to student loan agencies.
I wish I could say I was surprised. But, I'm not. This president is destroying the middle class.