Social Security Funding

Letter to AJC 4-24-12

Per the headline in the AJC, the social security trust fund is projected to exhaust in 2033. That issue can be completely solved by removing the cap on payments into social security. Currently, anyone earning up to $110,000 pays 6.2% of their income into the trust fund. People earning more pay a smaller percentage.

For example someone earning $250,000 pays 2.7%, and anyone earning a million dollars or more pays 1.0% or less. Is this a reasonable formula? Once again rich people pay less than their fair share, and those that really need social security to live with some form of dignity in their senior years, will suffer a loss of benefits because of this inequity.