Social Security

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. . .Paulson did help promulgate reports about the nation’s fiscal woes and tried to revive interest in Bush’s moribund Social Security plan. “He worked with all the stakeholders,” says Maya MacGuineas, president of the Committee for a Responsible Federal Budget. “He talked to everyone.”  . . .

The Social Security payroll tax hurts working Americans -- and it’s getting worse. Because the tax (a flat levy of 15.3 percent, combining the nominal employer portion with the nominal employee portion) applies to income only up to $97,500 (with a scheduled increase to $102,000 this year), it is inherently, grossly regressive, falling far more heavily on working Americans than on the rich. At the same time, as a result of rising pre-tax wage inequality, the payroll tax system is… more

Think Tanks Offer Latest Social Security 'Reform' Plan (CongressNow, subscription only)

A new plan to reform Social Security released today would transform it into a true retirement insurance program to protect people against costs that exceed their means, according to a report released today. The proposal, presented jointly by The Heritage Foundation the New America Foundation, would mandate retirement savings and insurance,while scaling back benefits for those who don't need them. The proposal also would require… more

Anyone who reads the serious press about the condition of the US might be excused for believing that the country is headed towards a series of deep crises. This impression is exacerbated by economic slowdown and by the presidential primaries, in which candidates announce bold plans to rescue the country from disaster. But even in more normal times there are three ubiquitous myths about America that make the country seem weaker and more chaotic than it really is. The first… more

In recent weeks, presidential candidate Sen. Hillary Clinton discussed her approach to saving Social Security. Maya MacGuineas, Director of the Fiscal Policy Program at New America, comments on the issue of Social Security:

"No one could argue that a return to fiscal discipline isn't a step in the right direction, but that alone isn't sufficient" to restore solvency to Social Security, said Maya MacGuineas, president of the Committee for a Responsible Federal Budget.

"It's certainly going… more

The Committee for a Responsible Federal Budget's 2007 board meeting, conference and dinner discussion were held March 13 at the Hyatt Regency on Capitol Hill. This event brought together many of the nation's foremost fiscal policy experts from both parties to discuss the budgetary challenges facing the nation, and the prospects for addressing them before they turn into full-blown crises.

A detailed recap of day's conversations -- including the afternoon round table, OMB Director Robert Portman's spech,… more

How big should the federal government be? Most people probably would say it’s about the right size. But what if you knew that forces -- indeed plans -- were in motion to make Uncle Sam’s bite on the economy almost twice what it is now?

The government spent about $2.7 trillion in 2006. That’s a lot of money, of course, but the gross domestic product (GDP) is around $13.3 trillion, and so it’s a manageable figure. Indeed, federal spending, which hovers… more

In a television interview last weekend, President Bush said Social Security reform was "still alive" and again declared that it would be one of his top goals when the next Congress convenes. Of course, that's what Bush said right after the 2004 election. And despite pushing the issue hard and personally campaigning for it around the country–60 cities in 60 days in early 2005–the idea's beta version never really took off with the American people, and no legislation was ever… more

Remember last year's efforts to fix Social Security? In this era of instant news cycles, it is easy to forget. But even though the politicians bungled efforts to restructure the program last year, the issue has not disappeared. Roughly 77 million baby boomers are still preparing to retire. They still don't have enough kids and grandkids to pay the taxes needed to support them in the style to which they'd like to become accustomed. And, in the long run, Social… more

Len Nichols, a highly respected healthcare economist, directs the Health Policy Program at the New America Foundation, which aims to expand health insurance coverage to all Americans while reining in costs and improving the efficiency of the overall health care system. Before joining New America, Dr. Nichols was the Vice… more