AND THAT IS making Social Security fully sustainable first.
Under his (Biden) plan, eligible workers would get a guaranteed minimum benefit equal to at least 125% of the federal poverty level.
People who have received benefits for at least 20 years would get a 5% bump.
Widows and widowers would receive about 20% more per month.
Biden also proposes changing the measurement for annual cost-of-living increases to the Consumer Price Index for the Elderly, or CPI-E, which could more closely track the expenses retirees face.
To pay for those higher benefits, Biden would apply Social Security payroll taxes to those making $400,000 and up. In 2021, workers generally pay the 6.2% Social Security tax on up to $142,800 of wages. (Earnings between $142,800 and $400,000 would not be subject to those levies under the plan, though that gap would eventually close over time.)
Why can’t Congress address the fundamental issue?
“Lawmakers have a broad continuum of policy options that would close or reduce Social Security’s long-term financing shortfall. Cost estimates for many such policy options are available at http://www.ssa.gov/OACT/solvency/provisions/.
The Trustees recommend that lawmakers address the projected trust fund shortfalls in a timely way in order to phase in necessary changes gradually and give workers and beneficiaries time to adjust to them. Implementing changes sooner rather than later would allow more generations to share in the needed revenue increases or reductions in scheduled benefits. Social Security will play a critical role in the lives of 65million beneficiaries and 180 million covered workers and their families during 2020. With informed discussion, creative thinking, and timely legislative action, Social Security can continue to protect future generations” SOURCE: Social Security Trustee Report 2020 (and scores of prior years).