rnment has tried to institute new polices and reform old ones, but they are falling short over the long run. In 1993 the President pushed a tax that stated 85% of Social Security became taxable income to people with substantial amount of other retirement savings such as pensions and personal savings. What they are telling is if you are one the smart people in America that pre-planned your retirement with other savings and not just Social Security they can put heavy taxes on your Social Security checks. Now you would have to pay twice once whiled you worked and again when you retire. Its has if you are being punished for doing the right thing. Another tactic many government official are trying to push is raising the payroll tax 2%. The current tax is 12.4%, 6.2% from the employee and 6.2% from the employer. This would aid us temporarily, but would do nothing to stop the long-term problem. "To maintain the systems solvency, taxes would have to be increased, or benefits cut, between one-half and 1 percent every 10 years" If you do the math you will realize by the time Generation X retires the payroll tax needed to keep Social Security going will have almost doubled. The higher tax rates will start some sort of recession with people getting far less out of their paychecks to live on. Anyway who wants pay more taxes. They would also like to cut many of the benefits that Social Security offers, but why should we pay more and receive less. The U.S. government has dug itself into a whole waiting to the last minute to save Social Security. When by simple demographics years ago would have showed the same problem. They have to get it out of their heads that Social Security is such a great system that can be saved. Well it was great a time, but as we know times change. The only way to save Social Security is to completely overhaul it. With the best way to ...
