Benefits Of Funding For Social Security

Stephen Goss, the Chief Actuary of the Social Security Administration once said, “The concepts of solvency, sustainability, and budget impact are common in discussions of Social Security, but are not well understood.” Social Security is an important federal program that provides a stable source of income to individuals who no longer have a constant salary due to retirement, disability, or death. This program, not only keeps millions of families out of poverty, but it also plays a vital role in the national economy. According to the research report, “Social Security’s Impact on the National Economy”, by Gary Koenig and Al Myles, Social Security supports millions of jobs. The importance of this program is clearly evident in both the national economy and in the economic stability of each individual state. However, the future of the Social Security program does not look very stable and the right decisions need to be made in order to ensure the solidity of the nations’ economy.

Debates over Social Security have been ongoing since its inception in 1935 until today. The trend seems to be toward an increasing percentage of the American public, across party and demographic lines, in favor of strengthening Social Security funding, and a willingness to pay more to preserve and even improve benefits. However, the trend towards privatization of Social Security is also on the rise. What is not clear is whether Americans favor privatization because of fears that the Social Security Trust Fund is living on borrowed time.

President Obama acknowledged that it is not his “ideal plan” for reducing the deficit or growing the economy, according to a CBS News article by Stephanie Codon. Last year, the AARP released a national survey showing that eighty-four percent of voters fifty years and older oppose reducing Social Security benefits to reduce the Federal budget deficit. An entitlement reform would threaten benefit security–“a core value” of the Democratic Party. Cutting benefits when pensions are disappearing is the wrong direction.

In 2015, $895 billion dollars was spent on social security. The problem is the working people provide social security for the retired. Since people are living longer, there is not enough money from the people who are currently working to provide for retired individuals. I believe the best way to solve this problem is by changing social security. I think everyone should be required to have a social security account that they put a certain percentage of their paycheck into each year. The account should be secured and the government should not allow the individual to receive the money from the account until they reach a certain age. This procedure would ensure that everyone would have money for retirement and the government would only have to safely store the money, not provide the money to the individuals. If the individual dies before retirement, the money should be used to pay for any debt the person owes or go to a designated person as suggested in the deceased person’s

"A revolutionary change in our tax system is fundamental to re-energizing the American economy and restoring the American dream" (Moore 1). Currently, there are two major plans being considered to try and fix the tax system in the United States. These two plans are the Flat Tax and the National Retail Sales Tax. "Both the Flat Tax and a National Sales Tax would replace today's discriminatory tax structure with a single low rate. Either plan would promote the kind of capital formation that America needs to boost workers' incomes and raise long-term economic growth" (Mitchell 1). This means that the flat tax would take away the savings from the government and pass them on to the citizens and businesses. By doing this, there would be a rise in long-term economic growth.

In my initial argument, I contended that people who contribute to Social Security should have a say on how their money should be spent. My argument hinged on the premise that Social Security should be an investment that guarantees financial security for the contributors. Equally, I argued that most contributors are hardworking people who can identify viable investment options that assure steady returns on investment, and that the government should not be the sole decision maker regarding the feasibility of the investment.

Nearly every American sees the letters FICA at least once a week. While rushing out of the office or place of employment and scurrying to the bank to cash a well-deserved paycheck, the average American scowls at the roughly 8% the "FICA tax" inevitably consumes. Yet, ask any American what they plan to use to enjoy life after they retire and the answer is generally uniform: "my social security checks". This answer has been repeated for over sixty-five years. Since President Franklin D. Roosevelt's New Deal, Americans have been receiving returned taxes for their retirement through a public policy known as the Old Age, Survivors, and Disability Insurance (OASDI), or better known as Social Security. Noted as

Everyone has the right to live their life how they want, secure their belongings, and liberty. The main principles of the United Nations Declaration of Human Rights are equality, speech, freedom to bear arms. I'm calling on you to divide more funding to these three agencies, Postal Services, National Security, and Social Security Administration. In order to help with the United Nations goals. Funding the Social Security administration would help the unemployed, disabled, and the low-income.

Hence, this remains a potent challenge in the modern day framework of the SSA. Several opponents to the current pension system contend there is little economic mobility available to reverse current funding deficits and to ameliorate these issues in social security. Furthermore, if Social Security continues its pay-as-you-go system, this will further compromise the long-term availability of pensions in the future (Kitao, 2014). If the government budget attends to these deficits, and raises income taxes, this will yield detrimental results on the system. Subsequently, these actions would dissuade employment activities, reduce economic vitality, and worsen the economy altogether.

It is crucial for Americans to have a responsible discussion about the future of the SS/SSI programs. In the long term, spending per capita on health care will continue to surpass GDP growth per capita (Jacobs 2013). This is an unsustainable trend; therefore, one must consider the option of continuing to raise the full retirement age to 70

This would create balance for Social Security Program for the next 75 years. It will also help pay for improvement in Social Security. Eliminating the payroll tax cap would reduce 74 percent of Social Security’s shortfall, NASI found.This change is supported by most Americans, with 80 percent of survey respondents favoring gradually eliminating the taxable earnings cap, including 76 percent of people with family incomes of over $100,000. By eliminating the tax cap, the Social Security Program will benefit by giving money to those who need it or are entitled to collect. With inflation and goods costing more, such as the cost of medical, people, mostly of the elderly, need assistance for this. People with disabilities, need assistance with living and medical expenses because they are unable to work. The Social Security Program is also used for those who have lost a loved one and need assistance, whether this be permanent or

The widely accepted concept of retirement resembled a three-legged stool. The first leg was the Social Security component. In 1950, there were approximately 30 workers contributing taxes for every retiree. Today that ratio has been reduced to 3:1, and it is projected to fall to 2:1 as the Boomers retire. The effects on the entitlement programs of Social Security and Medicare will be catastrophic. It is estimated that by 2022 the Social Security trust fund will begin to experience an income deficit, and by 2036 the fund will be fully exhausted (Stendardi, 2005). The Medicare trust fund will experience the same sort of phenomenon.

they would also raise the after-tax income people receive from their current level of activities,

Social Security is a real concern, as we know the forecast for social security is very bleak. The system is running out of money and currently there is no backup plan in place. This personally impacts me because I have family members who depend on the additional monthly income. If they do not have this benefit they cannot meet their finical responsibilities, which may require family members to assist them with monthly expenses. This might cause a domino effect in the finances of the family members who are assisting. Many American citizens do not have extra money in their budgets. Due to the strained American economy over the past ten plus years many responsible citizen have depleted their savings account and some also their retirement funds

Hearing about many Americans on disability and fact that social security is big part of their lifestyle is big plus. Many Americans can’t survive without social security and I would feel bad if it get taken away from them. I know there are some Americans who are taking advantage of social security and that are one disadvantage and that is bringing harm to the ones that really need it to live in this world. When I was younger I thought social security and being on disability is only for senior adults, but didn’t know it can happen to younger adults as well. I’m glad that social security helps so many Americans with so much and without their help many Americans would struggle more than there is now today. Hearing Kira story made me emotional