# Social Security’s solvency for 75 years, increase benefits by $2,400 per year, status?



## M.C.A. (Feb 24, 2013)

*Sanders, Warren propose bill to extend Social Security’s solvency for 75 years, increase benefits by $2,400 per year*

KEY POINTS

Social Security will reach a point where it may no longer be able to pay full benefits as of 2035, if nothing is done to boost funding.
Sens. Bernie Sanders, I-Vt., and Elizabeth Warren, D-Mass., along with other Democratic legislators put forward a new plan on Thursday aiming to extend the program’s solvency past 2096.
The proposal would also make benefits more generous, including an extra $2,400 per year for beneficiaries.
Sens. Bernie Sanders, I-Vt., and Elizabeth Warren, D-Mass., introduced a new bill on Thursday that aims to extend Social Security’s solvency for 75 years by raising taxes on the wealthy, while making benefits more generous.

The proposal, called the Social Security Expansion Act, would expand benefits for current and new beneficiaries by $200 per month, or $2,400 per year, and would make the monthly checks more generous in other ways.

To do that, and improve the program’s solvency at the same time, the plan also calls for raising taxes on high-earning households.

Sanders and Warren, who are co-chairs of the Expand Social Security Caucus, were joined by Democrats including Sens. Cory Booker of New Jersey, Kirsten Gillibrand of New York, Jeff Merkley of Oregon, Alex Padilla of California, Chris Van Hollen of Maryland and Sheldon Whitehouse of Rhode Island, along with Rep. Peter DeFazio, an Oregon Democrat who introduced companion legislation in the House.

*More from Personal Finance:*
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Here are the changes Americans are willing to make to fix Social Security
In 2022, payroll taxes are applied to income up to $147,000. The bill calls for lifting that cap and applying the Social Security payroll tax to all income of more than $250,000.
Social Security payroll taxes are applied at a rate of 6.2% for both the employer and employee, for a total of 12.4%, which is deducted from paychecks.

The bill calls for having the wealthy pay more through a 12.4% tax on investment and business income. It would also apply levies to certain business income that is not currently subject to payroll taxes.

“Today, absurdly and unfairly, there is a cap on income subject to Social Security taxes,” Sanders said in prepared remarks during a Thursday Senate hearing. This is a long article so here's the link to it. Full CNBC ararticle


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## Howard_Z (7 mo ago)

I read somewhere there are proposals of no SS until age 70, and means testing (only for the poor)

Nobody knows what will happen


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## boris64 (Dec 13, 2018)

M.C.A. said:


> *Sanders, Warren propose bill to extend Social Security’s solvency for 75 years, increase benefits by $2,400 per year*
> 
> KEY POINTS
> 
> ...


Won't pass now. At least for two more years.


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## Chrissippus (Dec 16, 2021)

boris64 said:


> Won't pass now. At least for two more years.


Probably true, although they could conceivably pass it in the lame duck session before Jan. 3.


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## Quezon Expat (3 mo ago)

M.C.A. said:


> “Today, absurdly and unfairly, there is a cap on income subject to Social Security taxes,”


I have agreed with that for years. The last half of my working life I'd get a pay increase around Aug-Sept because they stopped deducting SS contributions from my check. I was getting by just fine and didn't need the extra money so I invested it.
It is highly doubtful they will eliminate the income cap though because employers love it as they get to stop contributing too and they have the bag-men.


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