Helping each other. That’s what we do in America. Government must do more to help senior citizens and ensure Social Security will be there for us… now and 50 years from now.
Saving Social Security. A Social Security Board of Trustees report projects the trust fund surplus will be depleted by 2034 and benefits may drop. Elderly people living check to check could see payments plummet by nearly 25%. That will spell disaster for people struggling to get by. I offer a plan to address this.
The trust fund was at about $2.9 billion in 2020. It gradually drops. With the recent 10% increase to address inflation, the fund will dwindle even faster. Covid increased people retiring and demographic trends indicate ever-growing disparity between the young paying into the trust and the retired collecting.
I offer several proposals, unpleasant but necessary.
1. $1 Stock Trade Fee. I propose a $1/trade fee on every stock trade ($25 corporate), with all fees going directly into the Social Security fund. It is a minimal infringement on trades, typically many thousands of dollars, that hardly anyone will notice - but the government will notice as billions of dollars are added to the fund in desperate need of money. It also taxes those who can afford it, after all, they are buying stocks!
2. Remove Taxable Cap. There is now a cap on taxable income for Social Security. End this cap. People earning 1 million or more can certainly afford to pay far more. Raising or eliminating the cap will flood the Social Security fund with much-needed billions of dollars.
2. Raise Age. The deficit will only get worse as life expectancy rises. Men lived to an average of 59 when Social Security was created 1935. Now it is 79. It will only rise as medical treatment improves. Gradually raise retirement age to 65. As people work longer they can start collecting at a later age.
3. Reduce Super Rich Entitlement. Reduce benefits on a sliding scale as people earn greater retirement income. For example, someone with a retirement nest egg of $10 million may get $400,000 in income even without touching the principal of $10 million. Should someone earning $400,000 a year in retirement get $3000 Social Security checks monthly, or get anything? This is a debate we need to have. It seems only fair at least that the very rich should collect less than people living from check to check.
4. Sliding Scale Payment. Payments are based upon contributions. The rich who paid more may get close to $3000 per month. Poor people who need much more help may be closer to $1000 because they paid less during income years. Level the field. Those who earn hundreds of thousands in retirement should get lower payments than those in serious need.
Implementing these ideas will eliminate insolvency (or postpone it many years). Kicking the can down the road is irresponsible and I don’t believe in running government that way.
[I present a detailed 20 page report on solving this problem. Please contact and we will send a PDF copy to you.]
Helping Senior Citizens. Senior New York residents face many problems. I will be their most attentive advocate.
Many seniors have been kicked out of their rent-stabilized apartments due to being hospitalized when sent t