Post by PickyChicky on Aug 5, 2014 3:26:24 GMT -6
I found an article on Bankrate's Retirement Blog discussing the issue of Social Security funds depleting to the point of having to significantly reduce benefits received about 19 years from now. It relates in simple terms how easy it would be to fix the problem if Congress would just stop ignoring the issue and act now.
The problem is more dire for those between the ages of 40-55 since the funds will begin to deplete around the time they retire and they have less time to prepare for it on their own by building on other sources of retirement income. It is said that it's unlikely anyone currently receiving benefits at that time will see a reduction and the younger crowd will have more time to build their own retirement funding sources.
The article also points out the fact that Congress tends to not want to deal with the more "difficult" issues and usually tries gimmicks for temporary band-aids without preparing for the long-term. The thing is, it really isn't that difficult if they would just it the serious attention it needs now. As the article says:
"Whether you raise the payroll tax rate by a percentage point or two, raise the age of eligibility by a year or two, or raise the cap on income to be taxed well above the current $117,000 -- or some combination -- a balanced result can be achieved remarkably easily. All it takes is for the U.S. Congress to pick a plan and vote yes."
The article also quotes Donald Fuerst, senior pension fellow at the American Academy of Actuaries, as saying, "Putting off fixing Social Security just makes it a much harder adjustment. If we wait for 19 years to fix it, the tax increase or the benefit cuts necessary will be very substantial. If we deal with it sooner rather than later, we can do it with smaller adjustments."
So, write to your Congressman and ask that he or she take action and encourage their fellow members of Congress to fix Social Security now. It's time they get off their duffs and actually start doing things to improve conditions for their constituents -- and for the long-term. Simply click the "write to" link and it will take you to a page on OpenCongress.org where you simply enter your zip code to get the contact information for your state's Senators and Representatives serving your area.
If you simply enter a five-digit zip code and multiple Representatives are found serving your zip code, it will give you the option to enter either your street address or the four-digit extension of your zip code to find out which one actually serves you. However, I would write to them all. It's time "we, the People" make ourselves heard, especially considering how Congress seems to keep failing us on numerous issues.
Source: Social Security: No More Excuses, Bankrate's Retirement Blog
The problem is more dire for those between the ages of 40-55 since the funds will begin to deplete around the time they retire and they have less time to prepare for it on their own by building on other sources of retirement income. It is said that it's unlikely anyone currently receiving benefits at that time will see a reduction and the younger crowd will have more time to build their own retirement funding sources.
The article also points out the fact that Congress tends to not want to deal with the more "difficult" issues and usually tries gimmicks for temporary band-aids without preparing for the long-term. The thing is, it really isn't that difficult if they would just it the serious attention it needs now. As the article says:
"Whether you raise the payroll tax rate by a percentage point or two, raise the age of eligibility by a year or two, or raise the cap on income to be taxed well above the current $117,000 -- or some combination -- a balanced result can be achieved remarkably easily. All it takes is for the U.S. Congress to pick a plan and vote yes."
The article also quotes Donald Fuerst, senior pension fellow at the American Academy of Actuaries, as saying, "Putting off fixing Social Security just makes it a much harder adjustment. If we wait for 19 years to fix it, the tax increase or the benefit cuts necessary will be very substantial. If we deal with it sooner rather than later, we can do it with smaller adjustments."
So, write to your Congressman and ask that he or she take action and encourage their fellow members of Congress to fix Social Security now. It's time they get off their duffs and actually start doing things to improve conditions for their constituents -- and for the long-term. Simply click the "write to" link and it will take you to a page on OpenCongress.org where you simply enter your zip code to get the contact information for your state's Senators and Representatives serving your area.
If you simply enter a five-digit zip code and multiple Representatives are found serving your zip code, it will give you the option to enter either your street address or the four-digit extension of your zip code to find out which one actually serves you. However, I would write to them all. It's time "we, the People" make ourselves heard, especially considering how Congress seems to keep failing us on numerous issues.
Source: Social Security: No More Excuses, Bankrate's Retirement Blog