Social Security Safety Blanket

Campaign for America's Future manager@ourfuture.org via bounces.salsalabs.net	9:42 AM (11 hours ago)
to me

Friend: This generation's chance to build Social Security is here. Where are you? Friend: The middle class is shrinking and our private pension system is failing. But we still have Social Security, right? Sort of. If you or someone you love relies on their earned benefits, you know how difficult it is to maintain a decent standard of living on Social Security. We can do better. Senator Tom Harkin has introduced a bill that says no to those who want to cut Social Security — and actually increases benefits by several hundred dollars a year. That may not seem like much, but for many Americans that's the difference between independence and poverty. Click here to tell Congress: Don't cut Social Security benefits; increase them! This bill won't harm the deficit. It pays for itself by making the wealthy pay the same Social Security tax rate as you and I. It's fair, modest and will actually build the trust fund. Take a few seconds out of your day and tell Congress to pass this important reform. Sincerely, Roger Hickey Co-Director, Campaign for America's Future

Today, most seniors rely on Social Security for 2/3s of their income or more. Cutting Social Security will keep many of us from paying for necessities as we age. These cuts are an even bigger threat to the disabled and veterans, who would face the COLA cut for 30, 40 years or more. For example, a severely disabled, unmarried veteran who claims Veterans Disability Compensation benefits today at age 30 would experience a cumulative cut of $60,121 by age 65 and $144,189 by age 85

2013 Cola

Social Security Announces 1.7 Percent Benefit Increase for 2013 (Printer friendly version) Monthly Social Security and Supplemental Security Income (SSI) benefits for nearly 62 million Americans will increase 1.7 percent in 2013, the Social Security Administration announced today. The 1.7 percent cost-of-living adjustment (COLA) will begin with benefits that more than 56 million Social Security beneficiaries receive in January 2013. Increased payments to more than 8 million SSI beneficiaries will begin on December 31, 2012. Some other changes that take effect in January of each year are based on the increase in average wages. Based on that increase, the maximum amount of earnings subject to the Social Security tax (taxable maximum) will increase to $113,700 from $110,100. Of the estimated 163 million workers who will pay Social Security taxes in 2013, nearly 10 million will pay higher taxes as a result of the increase in the taxable maximum. Information about Medicare changes for 2013, when announced, will be available at www.Medicare.gov. For some beneficiaries, their Social Security increase may be partially or completely offset by increases in Medicare premiums. The Social Security Act provides for how the COLA is calculated. To read more, please visit www.socialsecurity.gov/cola. # # # NOTE TO CORRESPONDENTS: A fact sheet showing the effect of the various automatic adjustments is attached. SSA Press Office 440 Altmeyer Building 6401 Security Blvd. Baltimore, MD 21235 410-965-8904 FAX 410-966-9973

chained CPI

Dear Howard,
After two years with a zero COLA, you will receive a small increase in 2012. But Members of Congress from both parties say it is way too high — and that the COLA needs to be permanently reduced.

After a little over 30 years, they suddenly want to CHANGE the way your COLA is calculated and begin using something the economists call a "chained CPI" to calculate the COLA. This will "save" the government billions of dollars in Social Security and military retirement benefits but, to you and me, it is nothing more than a cut in Social Security benefits.

If the chained CPI had been used, the 2012 COLA would be about 20% LESS than it is! And, over a typical retirement, the average beneficiary will see their benefits reduced by over $20,000! This is an example of the kind of "back door cut" to Social Security that CAN AND WILL happen as President Obama and the special House/Senate Debt Reduction "Super Committee" look for ways to cut the deficit in the coming months.

Now, finally, we have legislation before Congress that could put the promises you received in writing and protect against these kinds of cuts! If we can pass this bill, your Social Security benefits will be guaranteed, in writing, and you will receive a certificate GUARANTEEING they will be paid.

MASS SENIOR ACTION LAY OFF SOCIAL SECURITY

information from MASS SENIOR ACTION LAY OFF SOCIAL SECURITY IN
SOLVING THE DEBT CRISIS
The 1983 reforms to Social Security, agreed to by Democrats and
President Reagan, designed it this way. It’s working precisely as
planned. These bonds are a sovereign obligation by one part of the
government, the Treasury, to pay an institutional investor, the Social
Security Administration, which is another part of the government. It’s
an obligation to one and an asset to another. That’s why the trust
fund is in balance and does not contribute to annual deficits.
Retirees will get their benefits, at least through 2036, unless the
Treasury defaults, which isn’t going to happen.
Howard McGowan
MaldenSenior

SCRAP T HE CAP

Poll after poll has shown that voters are willing to pay higher taxes to preserve and strengthen Social Security. But most of the gap can be closed without raising taxes on ordinary workers—just those with earnings above the taxable earnings cap of $106,800.

For example, gradually restoring the cap to again cover 90% of earnings for workers, and eliminating it altogether on employer side, would be enough to shrink the long-term deficit by 69%, while still preserving the link between these workers’ contributions and the benefits they receive.

Raising or eliminating the cap on taxable earnings is appropriate because almost all the earnings growth (and the growth in life expectancy) in recent years has been at the top.

Borrowed Social Security

Of the nearly $14.2 trillion in debt, roughly $5 trillion is money the government has borrowed from other accounts, mostly from Social Security revenues, according to federal figures. Several major policies from the past decade when Republicans controlled the White House and Congress — tax cuts, a Medicare prescription-drug benefit and wars in Iraq and Afghanistan — account for more than $3.2 trillion.