There are some misconceptions about Social Security that needs to be addressed. First of all Social Security is being lumped into the ‘Entitlement Class”. It is not an entitlement, the employee paid 7 1/2 percent of his/her income into Social Security for all of his/hers working life. In addition, their employers also paid 7 1/2 percent of the employees income toward Social Security. So think of it as an annuity that people paid toward their retirement. It is certainly something they paid for and should not be considered an entitlement.
To fix the crisis in Social Security requires several steps. First of all the retirement age needs to be raised by 2-3 years. this should be done for all those under 55 so people have time to adjust to the changes and the new dates will not effect those near retirement. Next, the cap on paying Social Security taxes, currently about $100,000, should be lifted. You pay Social Security on your entire income, regardless of how much you make. The final steps are Government steps. There must be an amendment to the Constitution that prohibits the government from raiding the money in Social Security for operating expense needs of the Federal Government. Finally, the Federal Government cannot add people to Social Security that did not put any money into the fund. for example, in the 80’s when the last Immigration Reform act passed, it also allowed newly approved residents to draw Social Security even though they did not pay into the fund. Certain Disabled people draw from the fund without paying into it. I am not saying they do not deserve help, just the fund was set up as a retirement fund not a catch-all. the Government should help those people as necessary, but not using Social Security funds.
November is coming … and 2012 is not far behind!!!!