Bill to end taxes on SS reintroduced

I’m guessing you don’t realize SS is inflation adjusted.

So how should we pay for these tax cuts, or do you prefer to borrow even more?

 

Is that why Americans get taxed twice on SS?

 

I don't think this is the issue. The issue is that a significant amount of social security income is already non-taxable and indeed many seniors haven't been paying income tax on their benefits, while others have. We have been penalizing seniors who choose to continue working by taxing their social security benefits, while others who often contributed less to the pot don't pay any taxes on theirs.

 

Looks like that "small amount" is estimated to range from $550 Billion to $1.5 Trillion over the next 10 years, and given the other proposals, Musk is really going to have to find a lot of waste. Realistically, we will just see a higher deficit, but Orange Skidmark wants it, so let's do it!

Trump Tax Priorities Total $5 to $11 Trillion | Committee for a Responsible Federal Budget

 

Unfortunate that people have to pay taxes on their own money that was taken and "invested" in zero growth securities. You figure the fact that they lost out on 40 years of stock market growth on that money would be punishment enough.

 

What a surprise, a boomer looking to steal even more from later generations. This would hasten the insolvency of SS by two years and Medicare by seven. Where’s @QGator2414? He should be drawn like a moth to a flame.

 

It’s an insurance policy and its “premium” expectations are based on receiving this tax. You don’t look at insurance as an investment so I don’t think this is an appropriate comparison either. Yes, I’d absolutely love to keep my SS contributions and invest them as I’d have probably be 1 million ahead of SS right now, but that’s not how the “social” system works.

 

I might get to this thread as I do find SS a topic worth discussion. But too busy to dive in right now. Thanks for the tag…

 

So it's a small amount that would help a lot of seniors?

 

I'm paying 15% of my annual Sched C income in payroll taxes even though I'm retired. I do get to deduct 50% of my SE tax in determining AGI and taxable income so there is a reduction in the 15% to an effective rate of approximately 13%. I keep paying money into the SS system yet, the increase in my social security benefit doesn't change any more than the amount given to those who are not still paying into social security fund. I don't think retired taxpayers with sched C income should be required to pay the 15% SE tax; we've already funded our SS and Medicare accounts.

 

60% of seniors don't pay taxes on their SS benefits as is. So this would help the top 40% of seniors, most of whom are doing fine as is.

 

President Trump is just trying to give back more to those who work the hardest for it and it's being met with the familiar jeers from the left. Shameful.

 

People crow about this but it’s actual dollars that will all be put back in the economy creating jobs rather than put in government in which we find more waste every second.

 

You mean the ones that actually set money aside to retire…you socialist just can’t help yourselves.

 

I think you’re missing the point. The bottom 60% of seniors don’t even pay taxes on the SS so eliminating taxes would only benefit those that have greatest means while simultaneously speeding SS toward insolvency for later generations.

 

You pay “taxes”, or more accurately insurance premiums for both SS and unemployment. You also pay taxes on those payments as they are income replacements.

Obviously we could do away with taxes on both as a matter of policy, but we need a replacement to fund the government/SS. Without replacement funding sources we will further increase our national debt and substantially bring forward SS’s insolvency date. So what’s the solution?

 

How about a compromise where recipients don’t pay taxes on their contributions. Once payments exceed that, the taxes kick in.

Or pay on 50%.