The current earnings cap for Social Security is $113,700. It serves two purposes. First, it sets a maximum benefit of $2,533/mo. for 2013. Second, it limits the amount of earnings which qualify for the Social Security tax.
My proposal is this: Retain the earnings cap for maximum retirement benefits but eliminate it as a limit on taxable earnings.
This means ALL employer and employee earnings, not just those below $113,700, would qualify for the 6.2% Social Security tax. This infusion of new income would save Social Security now while maintaining the current benefits structure forever.
Simply put, this means no current or future benefits would ever have to be reduced or delayed for any qualifying recipient.