In fact when President George W. Bush proposed allowing workers under 55 years of age to invest "a portion of the Social Security taxes into 'personal retirement accounts'" the idea was dumped before there was any legislation introduced (Jacobson, 2014)
government obligated to continue sending money to retirees who have kicked in their payroll taxes during their working years? And two, is social security merely another piece of legislation that Congress could repeal at any time? Morally, it can be argued that the federal government is obligated to continue providing funds to the social security program since young workers have been told from the time they got their social security numbers (at age 16) that there would be financial returns for them when they retire. One reason that social security is still a necessary benefit to workers is that over the past few decades it has become clear that workers rarely put in twenty to thirty years with one exclusive employer (Solomon, 2008)
The current earning cap only covers 83%, but when the cap was introduced, it covered 90%. This is because there has been a rising inequality in terms of wages (Bakija, Cole and Heim)
Avoiding insolvency Gradually raising the retirement age would save money without affecting the benefits received. Raising the retirement age would lead to less money being paid out to individuals who take their benefits early (Behaghel and Blau)
Before the establishment of the Social Security Act, support for the elderly fell on states, towns and families. Social Security current situation The trust fund for Social Security is estimated to become exhausted in 2033 (Evans, Perdue and Phillips)
This has been used widely after the introduction of computerized working systems. The method saves time and prevents defaulters from taking advantage of the large numbers that the organization has to deal with and evade payments (Osterweil, 2007)
The practice was adopted when it was realized that some people encountered some problems when remitting the money. It also ensured that they live a comfortable life once the income streams from salary have been deducted (Ware, 2011)
The practice was adopted when it was realized that some people encountered some problems when remitting the money. It also ensured that they live a comfortable life once the income streams from salary have been deducted (Ware, 2011)
This means less people supporting the same number of recipients and that is not financially sustainable if the ratio falls too far. Indeed, that is precisely the problem being experienced (Reuteman, 2010)
However, rather than the money just drying up and stopping, what will happen is that the payouts given to Social Security recipients will simply be reduced based on the funds that are available. The "time is out" clock for Medicare actually comes sooner, that being in 2030 based on current projections (Vernon, 2014)