Tag: Social Security finances
With all the other things in the news, it is easy to overlook the fact that the President’s proposal to defer Social Security payroll tax payments went into effect on September 1. Specifically, employers can stop withholding the 6.2-percent employee share of the Social Security tax through the end of the year for those earning…
The brief’s key findings are: As policymakers consider restoring balance to Social Security, understanding the reason for the shortfall is important. Specifically, the program’s “pay-as-you-go” approach, which dates back to the late 1930s, makes it expensive relative to a funded system. Paying full benefits to Depression-era workers meant forgoing the opportunity to accumulate more revenu…
