In 1983, President Ronald Reagan set up a committee, chaired by Alan Greenspan (before his days on the Fed), to put Social Security on better fiscal footing. The bipartisan group came up with a proposal that won the overwhelming support of Congress: raise the retirement age from 65 to 66 by 2009. In 2027, have it increase to 67. Also, tax Social Security benefits, except in very low-income cases, and send the proceeds back to the Social Security trust fund, for future retirees.
Social Security worries have cropped up again, and more bipartisan action, like that of 1983, is needed. The government could tax up to 100% of Social Security benefits for wealthier retirees. (Only 85% is subject now.) Or raise the cap on the amount of salary subject to payroll tax. (High earners don't have to pay it on anything they earn over $110,100.)
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