When SS taxes began, it's intent was to cover 90% of country's earnings. In early years, it covered 93%. The wealthy have dramatically increased their income and now we are taxing 86% of country's earnings. The cap is currently $112,000, when $112,000 was considered a lot of money. With the new budget deal, the cap should be raised to the new 'middle class' level of $400,000. This would make Social Security solvent for 75+ years.
Changing to the chained CPI to figure COLA cuts benefits. If the purpose is to make SS stronger, raising the cap would insure that SS can survive for over 75 years. Currently, the wealthy aren't contributing much to keep SS solvent.
This is historical material “frozen in time”. The website is no longer updated and links to external websites and some internal pages may not work.
