Quote:
Originally Posted by Stu from NYC
the problem is as life expectancy goes up we have more and more people to support with not enough funds going into the system.
Would need to raise the retirement age and do not think congress will do it. They would rather kick the can further down the road with bandaids
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"raise the retirement age" isn't the only possible option. You can raise the EARLY retirement age from 62 to 64. You can raise the maximum income cap, or eliminate it. Currently it's $176,100. If you raised it to $400,000 that would increase the amount in the fund every year.
You can increase the deduction AND make the increased payout be a lower percentage after the first "x". In other words - if the current max SS check, based on a $176,100 deduction, and you retire at age 70, the most you can currently get is $5,108 per month. If you increase the max from $176.1k to $400k, maybe only increase the max payout to $5,800/month.
You can also cut the age of max payout to 69, making it so the most you can get, you'll get if you retire when you're 69, and not when you're 70. Retiring at age 70 wouldn't give you any added benefit.
You could add a .5% payroll deduction increase, with .25% paid by the employee, and .25% paid by the employer, rounded UP to the nearest penny.
You could do any combination of these things, and the result would be an increase of funds into the system, and more available to pay out to future generations.