PeteM
Diamond
- Joined
- Jan 15, 2002
- Location
- West Coast, USA
It seems that 90% of both parties as well as the media are in favor of a payroll (Social Security withholding) tax cut, differing only in what extra stuff comes along for the ride, how big a cut, and for how many more months or years.
To me, it seems a bad idea on balance. The Social Security system is the one entitlement that only needs a bit of tweaking to fix for the long term. The biggest problem with it has been borrowing from it, with the concern that we will be flat broke when it comes time to pay it back. This "tax cut" actually amounts to both perpetuating the notion of S.S. as a piggy bank and further weakening it by taking even more money away if the fund isn't reimbursed (as it is supposed to be).
The arguments in favor also seem a bit shaky. One source says it will put more money in the economy and add zillions of jobs. Another source says it will help people pay off debts and save for the future. Seems to me, it won't do both. Still another argument says it will help folks in need; but those most desperately in need don't have jobs and aren't paying payroll taxes.
I can understand the desire for an intelligent stimulus, perhaps along the lines of truly needed infrastructure funding and new construction jobs. But, isn't it time to start leaving Social Security funding alone and just accept (or reject) the notion of borrowing in times of need? Seems to me that it's time to stop fooling ourselves.
Anyhow, persuade me I'm wrong.
To me, it seems a bad idea on balance. The Social Security system is the one entitlement that only needs a bit of tweaking to fix for the long term. The biggest problem with it has been borrowing from it, with the concern that we will be flat broke when it comes time to pay it back. This "tax cut" actually amounts to both perpetuating the notion of S.S. as a piggy bank and further weakening it by taking even more money away if the fund isn't reimbursed (as it is supposed to be).
The arguments in favor also seem a bit shaky. One source says it will put more money in the economy and add zillions of jobs. Another source says it will help people pay off debts and save for the future. Seems to me, it won't do both. Still another argument says it will help folks in need; but those most desperately in need don't have jobs and aren't paying payroll taxes.
I can understand the desire for an intelligent stimulus, perhaps along the lines of truly needed infrastructure funding and new construction jobs. But, isn't it time to start leaving Social Security funding alone and just accept (or reject) the notion of borrowing in times of need? Seems to me that it's time to stop fooling ourselves.
Anyhow, persuade me I'm wrong.