Social Security retirement age could jump as White House considers options

[Greenbeard]

FoxNews reported yesterday that the Trump administration is exploring raising the retirement age as one way to avert the 24% cut to benefits coming in a few years.

Social Security retirement age could jump as White House considers options

The Trump administration is reportedly considering many options to avoid Social Security insolvency, which includes raising the retirement age.

When asked if he would consider raising the retirement age during a FOX News interview on Thursday, Social Security Administration Commissioner Frank Bisignano said, "I think everything’s being considered, will be considered."

When the trust funds are exhausted, the Social Security program may experience an automatic benefit cut by law to match incoming payroll tax receipts unless Congress improves the program.

Analysis from the Committee for a Responsible Federal Budget noted that insolvency would leave Social Security beneficiaries with an estimated 24% benefit cut.

FOX Business reported that Social Security's trustees project that Congress would need to increase payroll taxes by 3.65 percentage points permanently to close the program's 75-year funding gap.

Social Security Administration Commissioner Frank Bisignano also explained that it will take a collective effort between the Trump administration and Congress to begin the "real work" on Social Security reforms to avoid depleting funds in the program.

Hmm, no thanks.

But Bisignano subsequently backtracked:



A little puzzling, though, as we're either getting benefit cuts (either for current retirees or future ones) or revenue increases. We're not going to "waste, fraud, and abuse" our way out of the gray tsunami.

 

[iamwhatiseem]

The article is pure conjecture. There is no comments or evidence whatsoever other than this article saying the usual "reportedly".
As late as yesterday senior trump officials said no we will not raise the age.

 

[Greenbeard]

The article is pure conjecture. There is no comments or evidence whatsoever other than this article saying the usual "reportedly".
As late as yesterday senior trump officials said no we will not raise the age.

Hopefully they make good on the promise to do nothing and let the 24% cut take effect in a few years.

 

[ttwtt78640]

FoxNews reported yesterday that the Trump administration is exploring raising the retirement age as one way to avert the 24% cut to benefits coming in a few years.

Social Security retirement age could jump as White House considers options




Hmm, no thanks.

But Bisignano subsequently backtracked:



A little puzzling, though, as we're either getting benefit cuts (either for current retirees or future ones) or revenue increases. We're not going to "waste, fraud, and abuse" our way out of the gray tsunami.

I don’t see how they came up with a “need to increase payroll taxes by 3.65 percentage points” to avoid the projected 24% shortfall.

Increasing the SS FICA ‘payroll’ tax rate(s) from 6.2% to 7.75% (a 1.55 percentage point raise) would increase SS revenue by 25%.

Raising the SS ‘full benefit’ age or dropping the option to collect reduced SS benefits at age 62 would likely have more folks successfully apply for (and get) even higher SS disability benefits.

 

[CaughtInThe]

I don't even need Social Security and I've been fighting all these decades for the people who do and they have screwed themselves.

 

[Greenbeard]

Increasing the SS FICA ‘payroll’ tax rate(s) from 6.2% to 7.75% (a 1.55 percentage point raise) would increase SS revenue by 25%.

The FICA tax rate is 12.4%.

 

[ttwtt78640]

The FICA tax rate is 12.4%.

Yep, which is split evenly (at 6.2%) between the employer and employee. In order to get 24% more SS revenue that 12.4% tax rate would only have to be increased by 2.98 percentage points.

 

[Moderate Right]

FoxNews reported yesterday that the Trump administration is exploring raising the retirement age as one way to avert the 24% cut to benefits coming in a few years.

Social Security retirement age could jump as White House considers options




Hmm, no thanks.

But Bisignano subsequently backtracked:



A little puzzling, though, as we're either getting benefit cuts (either for current retirees or future ones) or revenue increases. We're not going to "waste, fraud, and abuse" our way out of the gray tsunami.

Ummmmmmmmmmmmmm, they already walked that back before you posted. But, I'm guessing you don't care.

 

[Greenbeard]

Yep, which is split evenly (at 6.2%) between the employer and employee. In order to get 24% more SS revenue that 12.4% tax rate would only have to be increased by 2.98 percentage points.

3.65 percentage points of payroll is what they calculate is needed to close the shortfall over the next 75 years, not just in 2034.

 

[Greenbeard]

Ummmmmmmmmmmmmm, they already walked that back before you posted. But, I'm guessing you don't care.

Did you not read the OP? Try to get all the way to the end.

 

[ttwtt78640]

3.65 percentage points of payroll is what they calculate is needed to close the shortfall over the next 75 years, not just in 2034.

Once the ‘boomer bump’ is over, the SS ‘trust me’ fund is likely to start to grow again.

 

[Moderate Right]

Did you not read the OP? Try to get all the way to the end.

It's hard to get all the way to the end of any of your posts.

 

[dmpi]

How can SS be surprised about demographics? It's not like people couldn't figure this out all along. And I'm not buying the life expectancy excuse. America's life expectancy is falling behind compared with the rest of the world. The real problem is SS kept adding benefits because it's more palatable than calling it 'welfare' which is what it really is. Now instead of cutting overly generous benefits they want to stick it to the everyday man.

 

[ttwtt78640]

How can SS be surprised about demographics?

Easily, after all, we’re talking about congress critters.

There are fewer current workers per current beneficiary and beneficiaries are collecting benefits for more years.

It's not like people couldn't figure this out all along. And I'm not buying the life expectancy excuse. America's life expectancy is falling behind compared with the rest of the world. The real problem is SS kept adding benefits because it's more palatable than calling it 'welfare' which is what it really is. Now instead of cutting overly generous benefits they want to stick it to the everyday man.

US life expectancy is rising.

United States: annual life expectancy 1850-2100| Statista

From the mid-19th century until today, life expectancy at birth in the United States has roughly doubled, from 39.4 years in 1850 to 79.6 years in 2025.

www.statista.com

 

[Jezcoe]

Yep, which is split evenly (at 6.2%) between the employer and employee. In order to get 24% more SS revenue that 12.4% tax rate would only have to be increased by 2.98 percentage points.

The split between employer and employee is a smokescreen.

All of the contributions are paid for by the labor of the employee. It is all on the employee.

 

[Jezcoe]

How can SS be surprised about demographics? It's not like people couldn't figure this out all along. And I'm not buying the life expectancy excuse. America's life expectancy is falling behind compared with the rest of the world. The real problem is SS kept adding benefits because it's more palatable than calling it 'welfare' which is what it really is. Now instead of cutting overly generous benefits they want to stick it to the everyday man.

This problem has been known my entire adult life.

There hasn't been the will to solve it because there are those that want to privatize it and tap into trillions of dollars so they can earn billions in fees.

 

[Peacenik]

FoxNews reported yesterday that the Trump administration is exploring raising the retirement age as one way to avert the 24% cut to benefits coming in a few years.

Social Security retirement age could jump as White House considers options




Hmm, no thanks.

But Bisignano subsequently backtracked:



A little puzzling, though, as we're either getting benefit cuts (either for current retirees or future ones) or revenue increases. We're not going to "waste, fraud, and abuse" our way out of the gray tsunami.

Is anyone surprised?

The government under Trump does not serve the people as much as it serves the billionaires.

Must have been what maga wanted. They voted for it.

But of course, anyone who did the least bit of digging would never vote for Trump. No problem for maga. They do not think for themselves. Maga is rumor driven. The rumors are started by right wing think tanks which are funded by billionaires. They figured out how to take political advantage of the peer pressure effect.

No facts required.

Give 'em somebody to look down on and they'll unwittingly support their own demise.

It is interesting how the left opposes concepts; but the right opposes classes of people.

 

[Greenbeard]

How can SS be surprised about demographics? It's not like people couldn't figure this out all along.

They're not surprised. Trustees reports going back to 1992 have pegged the depletion of the trust fund in the late 2020s to mid 2030s. Boomers just never cared about finding a "solution" until now.

 

[Helix]

"Protecting and preserving"

 

[ttwtt78640]

They're not surprised. Trustees reports going back to 1992 have pegged the depletion of the trust fund in the late 2020s to mid 2030s. Boomers just never cared about finding a "solution" until now.

It’s not the last minute yet, so congress critters don’t care.

 

[Greenbeard]

It’s not the last minute yet, so congress critters don’t care.

Nor the voters who spent the next 35 years chasing tax cuts. (I understand there's actually a groundswell of support these days among retired Boomers to eliminate property taxes, too, so the streak continues.)

 

[Roadvirus]

FoxNews reported yesterday that the Trump administration is exploring raising the retirement age as one way to avert the 24% cut to benefits coming in a few years.

Social Security retirement age could jump as White House considers options




Hmm, no thanks.

But Bisignano subsequently backtracked:



A little puzzling, though, as we're either getting benefit cuts (either for current retirees or future ones) or revenue increases. We're not going to "waste, fraud, and abuse" our way out of the gray tsunami.

Not gonna happen.

An issue that's radioactive as hell.

 

[Greenbeard]

Not gonna happen.

An issue that's radioactive as hell.

Does seem unlikely Trump would ever take heat now to address something that will happen after he's gone, doesn't it?