One reason lawmakers are hesitant to fix Social Security: the millennials

[jmyrlefuller]

https://www.marketwatch.com/story/one-reason-lawmakers-are-hesitant-to-fix-social-security-the-millennials-2019-04-16

by Alessandra Malito
April 16, 2019

Lawmakers are proposing ways to extend and expand Social Security, which is facing insolvency in the next 15 years. If nothing is done, the trust funds that fuel the program will run out of reserves by 2034, and future retirees will get 79 cents on the dollar of what they’re owed in benefits.

One such proposal is the Social Security 2100 Act, introduced by Representative John Larson (D-Conn.), the chairman of the House Ways and Means Subcommittee on Social Security, as well as Sen. Richard Blumenthal (D-Conn.) and Sen. Chris van Hollen (D-Maryland). The bill, if passed, would increase revenue by raising the payroll tax 0.1 percentage points every year until it reaches 14.8% in 2043 and applying the payroll tax to those who earn more than $400,000 (the limit is currently capped at $132,900).

But some testimonies suggested Social Security couldn’t be fixed with a proposal like the 2100 Act, for the sake of millennials who are strapped for cash thanks to crippling student debt and wouldn’t be able to afford to pay the extra money in payroll taxes toward Social Security.

(excerpt)

[libertybele]

Because the millennial are strapped for cash because of student debt!  Amazing.  They put themselves into debt, they need to get themselves out of debt.  Whatever happened to working while going to school??

I've heard rumors that the trust funds that fuel SS have been dipped into to pay for other things. Also, stop giving SS to those that have never paid into it.

[jmyrlefuller]

Because the millennial are strapped for cash because of student debt!  Amazing.  They put themselves into debt, they need to get themselves out of debt.  Whatever happened to working while going to school??

College education expenses are grossly outpacing entry-level wages, that's what.

Hence why there's a bigger push for trade school these days, for people who are able.

I've heard rumors that the trust funds that fuel SS have been dipped into to pay for other things. Also, stop giving SS to those that have never paid into it.

Those are rumors. In fact, the current scheme of "dipping into" the SS actually allows the feds to shift money from the general fund into it, through "interest on debt." Borrow, then pay back with interest, and the SS trust fund has more in the bank than it did if we just let it sit.

[EdJames]

Because the millennial are strapped for cash because of student debt!  Amazing.  They put themselves into debt, they need to get themselves out of debt.  Whatever happened to working while going to school??

I've heard rumors that the trust funds that fuel SS have been dipped into to pay for other things. Also, stop giving SS to those that have never paid into it.

That's right...  most undergraduate semesters I worked both an on-campus job and an off-campus job.  When you are young not a lot of sleep is needed.

[massadvj]

Whatever happened to working while going to school??

I would say it is impossible today to "work your way through college."  This is not the fault of today's students.  It is the fault of previous generations who could not leave well enough alone and subsidized higher ed on both the supply and demand side, until it was no longer affordable.  The same thing happened to health care.  Socialism benefits only one group of people: those who eat from the public trough.  Everyone else pays, either in higher taxes, higher user fees, or both.

Ironically, the millennials do not realize this.  They love socialism, and have fallen in love with socialists who promise them the answer to their woes is yet more government involvement.  In that sense, maybe they do get what they deserve.

Millennials are also dissatisfied with Obamacare.  It turns out that premiums are through the roof, and high deductibles mean hardly anyone receives benefits.  This was entirely predictable.  So now they are demanding "Medicare for all."  Wait until they see what that looks like.

Unfortunately, there is no hope that we will move back in the direction of free market capitalism.  The public debt precludes it.  So we wait for the inevitable decline of our civilization.  Lest you think at least we have Trump, consider that while he has done a lot in terms of taxes and deregulation, he has been a disaster in terms of public spending, and a disappointment so far in terms of free trade.  He has succeeded in keeping us focused on his antics rather than our big problems, I will give him that.  But I think we have handed a poop sandwich to the next generation. 

All that said, it's for them to figure out.  If they want to live in a corporate/socialist managerial state with cradle-to-grave nannyism, well, it can't be much worse than their parents' basements.

[libertybele]

I would say it is impossible today to "work your way through college."  This is not the fault of today's students.  It is the fault of previous generations who could not leave well enough alone and subsidized higher ed on both the supply and demand side, until it was no longer affordable.  The same thing happened to health care.  Socialism benefits only one group of people: those who eat from the public trough.  Everyone else pays, either in higher taxes, higher user fees, or both.

Ironically, the millennials do not realize this.  They love socialism, and have fallen in love with socialists who promise them the answer to their woes is yet more government involvement.  In that sense, maybe they do get what they deserve.

Millennials are also dissatisfied with Obamacare.  It turns out that premiums are through the roof, and high deductibles mean hardly anyone receives benefits.  This was entirely predictable.  So now they are demanding "Medicare for all."  Wait until they see what that looks like.

Unfortunately, there is no hope that we will move back in the direction of free market capitalism.  The public debt precludes it.  So we wait for the inevitable decline of our civilization.  Lest you think at least we have Trump, consider that while he has done a lot in terms of taxes and deregulation, he has been a disaster in terms of public spending, and a disappointment so far in terms of free trade.  He has succeeded in keeping us focused on his antics rather than our big problems, I will give him that.  But I think we have handed a poop sandwich to the next generation. 

All that said, it's for them to figure out.  If they want to live in a corporate/socialist managerial state with cradle-to-grave nannyism, well, it can't be much worse than their parents' basements.

Trump has lowered the unemployment rates and people are back to work, but our debt is over 22T.  I'm not sure about free trade, still waiting to see results of the USMCA.

My biggest disappointment with Trump is of course illegal immigration. IMHO he's created an even bigger disaster.

I don't hold much hope for this country's future. Very sad.  The days of working hard to get ahead, apple pie, baseball and American patriotism are dead.

[massadvj]

The days of working hard to get ahead, apple pie, baseball and American patriotism are dead.

I went to a Yankee game during the preseason in Tampa.  I paid $25 for an order of chicken tenders with fries and a beer.  I can't say whether it is dead or not, but baseball certainly is not very affordable.

[libertybele]

I went to a Yankee game during the preseason in Tampa.  I paid $25 for an order of chicken tenders with fries and a beer.  I can't say whether it is dead or not, but baseball certainly is not very affordable.

That's why why go to watch our minor league baseball team play.  We have a blast. Tickets are affordable and they have quite an awesome fireworks display afterwords on Friday's and on Thirsty Thursdays beer is only $1- $2.  Various days you can get free general admission tickets from the local Dairy Queen.  You just can't beat it.  We love it!

[corbe]

[InHeavenThereIsNoBeer]

Lawmakers are proposing ways to extend and expand Social Security, which is facing insolvency in the next 15 years. If nothing is done, the trust funds that fuel the program will run out of reserves by 2034, and future retirees will get 79 cents on the dollar of what they’re owed in benefits.

Come on.  No one is "owed" anything, and that's been clearly stated for decades.  It's a tax.