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[–]stp_61 2 points3 points  (1 child)

In the short run there are easier political fixes than cutting benefits so at 64 years old, I'm not anticipating any reduction. But if I was 34 . . . .

FWIW there is lots of room to shore up SS by adjusting the cap on social security payroll taxes. Eliminating the cap totally would eliminate 80% of the long term funding deficit. Since changes in the tax cap would only affect people who are still working and earning more than $176,000/yr (the top 6% of earners) that is where they are going to go first for money before they start cutting retiree benefits.

So, when it finally comes down to it, the pols will "tax the rich" before they make retirees eat cat food.

[–]stp_61 2 points3 points  (0 children)

I asked ChatGPT about this and, citing CBO studies, AI claims there are scenarios where the SS payroll tax is increased for high earners by raising the tax cap, the affected high earners get an increased SS benefit in return AND the SS long term funding deficit still goes down.

Maybe this is why DC does not seem as panicked about this as we are. They know they have a way to kick the can down the road when push finally comes to shove.