Tag: social security projections
It turns out that the Congressional Budget Office’s assumption about a big decline in the share of earnings subject to taxation is a major driver of the agency’s very high projection of Social Security’s 75-year deficit. Let me explain exactly what the taxable share is, explain why it’s important, and finally compare CBO’s assumption…
As a former chair of the Social Security Advisory Board’s Technical Panel, I am always interested in new projections of Social Security’s 75-year deficit. The 75-year deficit is the difference between the present discounted value of scheduled benefits and the present discounted value of future taxes plus the assets in the trust fund. The deficit…
