Rep. Reid Ribble (R-Wis.) today released a comprehensive proposal to reform Social Security through both benefit changes and tax increases.
The bill — the “Save Our Social Security Act” — would increase the payroll tax cap, raise the retirement age, adjust the formula used to calculate benefits, and increase the payouts to the oldest and most vulnerable beneficiaries, among other reforms.
According to the Social Security Administration, the legislation would generate $168.5 billion in savings and additional revenue over its first decade.The bill would close Social Security’s 75-year actuarial deficit and substantially reduce the long-term drain on general revenues.
“This bill is distinguished by courageous common sense and the recognition that any Social Security reform will require political compromise,” Concord Coalition Executive Director Robert L. Bixby said. “Unlike many in Washington, the co-sponsors of this legislation have taken seriously the warnings from the Social Security trustees that the system is not on a sustainable course.”
The major reforms contained in the proposal would be phased in over years to ease the impact on beneficiaries and taxpayers, providing time to adjust to the changes. If Washington fails to act before Social Security and Medicare become insolvent, however, massive benefit cuts would be necessary.
Rep. Ribble was joined by several co-sponsors on the legislation and hopes to rally additional support.
Rep. Ribble on the Need for Social Security Reform
2016 Social Security Trustees’ Report
“Save Our Social Security Act” Press Conference