Latest Social Security Report Reveals Urgent Need for Legislative Action
The clock is ticking. According to a recent article by The Street, the latest report by the Social Security and Medicare Boards of Trustees confirmed last year’s findings that a key trust fund will be exhausted in 2033. That does not mean benefit cuts are inevitable, but officials caution that could happen if lawmakers don’t take action — and soon!
“Lawmakers have many options for changes that would reduce or eliminate the long-term financing shortfalls,” the officials wrote in their summary report. “Taking action sooner rather than later will allow consideration of a broader range of solutions and provide more time to phase in changes so that the public has adequate time to prepare.”
Solvency Solution
Fortunately, some lawmakers are already working on possible solvency solutions.
The Seniors Trust believes the best way to address Social Security’s funding shortfall is to enact the Social Security Expansion Act. It will extend the solvency of the Social Security trust fund through 2096, by requiring the wealthiest Americans to pay their fair share. This bill calls for lifting the income tax cap, which currently stands at $160,200, and subjecting all income above $250,000 to additional Social Security Payroll tax. Under the Social Security Expansion Act, more than 93 percent of households would not see their taxes go up by one penny.
This landmark piece of legislation would also increase benefits by about $200 per month putting more money in the hands of seniors who so desperately need money and establishing a fairer cost-of-living adjustment (COLA) that more accurately reflects the spending habits of older Americans.
Show Your Support
If you support The Seniors Trust’s mission to buttress the long-term solvency of Social Security by expanding benefits for seniors — not cutting them — please add your name to our petition to Congress.
