Abstract Social Security is an insolvent program that demands immediate reform—but raising the payroll tax cap should not be an option. Static revenue projections conceal the true impact of raising the Social Security payroll tax. What may seem like an easy way to improve the program’s long-run finances would, instead, reduce incomes, slash non–Social Security tax revenues, stimulate higher government spending, and do little to improve Social Security’s solvency. Policymakers need to reform Social Security now, curbing costs and returning the program to its original intent of preventing poverty in old age. Raising the payroll tax cap would increase costs, move the program further from its original goals, and hurt individual incomes, tax revenues, and economic growth in the process.heritage.org/research/reports/2014/08/raising-the-social-security-payroll-tax-cap-solving-nothing-harming-much
Posted on: Fri, 09 Jan 2015 03:30:31 +0000
Trending Topics
Recently Viewed Topics
© 2015