General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsPayroll tax cut undermines Social Security's security
If Social Security becomes just another line item in the federal budget, what's to save it from being swept up in an across-the-board orgy of spending reductions?
By Michael Hiltzik
February 19, 2012
The accepted response to the economic deal reached in Congress last week, extending the Social Security payroll tax holiday and unemployment insurance and maintaining reimbursement levels for Medicare doctors, is huzzah!
Finally Congress got something important done with a minimum of brinkmanship and posturing, and more than a few minutes before the deadline. A threat to the embryonic economic recovery was averted, and the extensions even pushed any subsequent fracas over the same issues to the end of this year, safely past the presidential election.
So why should we consider this action cause for despair?
It's because with every extension of the payroll tax holiday, which was first enacted in 2010, the prospect that Congress will ever restore the tax to its statutory 6.2% of covered income recedes a little bit further over the horizon. And that's bad medicine for Social Security.
more
http://www.latimes.com/business/la-fi-hiltzik-20120219,0,1032274.column
mick063
(2,424 posts)Social Security has become entirely dependent upon the general fund.
To say that the tax holiday "steals" from Social Security is no more relevant than saying the tax holiday "steals" from operating an aircraft carrier.
When the 1% pays taxes as opposed to receiving corporate welfare or tax funded bail outs, I will ponder the impact of Social Security on our debt.
Perhaps the so called "entitlements" do need adjustment in the "big picture", but until the disproportionate concentration of wealth is dealt with, I will not entertain any debate on the reduction of "entitlements".
Gawd I hate that Rove implemented "buzz" word......."entitlements". It reeks of another dog whistle directed at the disadvantaged.
pansypoo53219
(20,978 posts)cap the amout TOO LOW and tax the nder too HIGH to fix it. raise the limit to 2 mil + inflation + lower the rate for all.