If the Face Fits II
Billmon - Whiskey Bar 2/28/2004.
Well, in 1983 Alan Greenspan persuaded the Democrats who were in charge of Congress to overtax us on Social Security, that is to collect taxes in advance rather than on pay as you go system. The promise was that we would use the excess taxes to pay off the federal debt which was then about a trillion dollars. We have now paid 1.8 trillion dollars in excess Social Security taxes. This year the government will collect -- if you make $50,000, about $7,500 from you. It only needs 5,000 to pay current benefits. That other $2,500 wasn't used to pay off the federal debt, which is now 7 trillion dollars, instead it is being used to finance tax cuts for the super rich.
Billmon at the Whiskey Bar does a better job of explaining this issue than we have in a previous post
Chickens Coming Home to Roost and in the article
The Looting of America. It is simple: you have paid Social Security taxes in advance to fund your retirement. Those funds are being spent to fund tax cuts for the rich and your Social Security benefits (that you paid for in advance) are being reduced. Be outraged. Be very outraged. This is class warfare at its worst.
