If I had to guess, I'd say that tying the SS benefits to payroll taxes created a gateway for those who wanted to limit SS benefits to do so without having to specifically vote on reducing an entitlement program.
Nice piece, Ira, and very clear. I hope that Finance Committee staff members are on your circulation list. Question: isn't one reason why Social Security withholdings are treated separately is because we don't trust Congress or the President not to raid the fund if it serves their needs? Yes, money is fungible, but might there be at least a political and psychological barrier against misusing those funds if they are labeled?
If I had to guess, I'd say that tying the SS benefits to payroll taxes created a gateway for those who wanted to limit SS benefits to do so without having to specifically vote on reducing an entitlement program.
Social security for obvious political reasons should continue as a separate fund. Ira how about reviewing other options?
Please tell me why you think that.
Nice piece, Ira, and very clear. I hope that Finance Committee staff members are on your circulation list. Question: isn't one reason why Social Security withholdings are treated separately is because we don't trust Congress or the President not to raid the fund if it serves their needs? Yes, money is fungible, but might there be at least a political and psychological barrier against misusing those funds if they are labeled?
Very interesting. Great injection of a new--and good--idea into system.