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10-23-2010, 05:11 AM
Another plan to screw most Americans. . .by the party that brought us the financial melt down. . .
GOP Social Security plan would target high earners
By Lori Montgomery
The Washington Post
WASHINGTON — A Republican plan to rein in Social Security costs would dramatically reduce retirement benefits for middle- and upper-income Americans, especially those now younger than 25, according to an analysis released Wednesday by the program's chief actuary.
The plan, by Rep. Paul Ryan, R-Wis., would reduce benefits by gradually increasing the retirement age and trimming benefits for the top 70 percent of earners.
Together, the two provisions would slice initial benefits by about a quarter for middle-income Americans who turn 65 in 2050, according to the analysis. Wealthier retirees would see even deeper cuts, losing about one-third of scheduled benefits in 2050 and more than half if they turn 65 in 2080.
The Ryan plan has been a frequent target for Democrats accusing the GOP of plotting to gut Social Security. But the report by Stephen Goss, chief actuary for the Social Security Administration, also examines other ideas for overhauling the program, including several under discussion by a bipartisan deficit-reduction commission appointed by President Obama. Leaders in both parties say Social Security may present the best opportunity for compromise on the commission, due to issue a report Dec. 1.
Goss' analysis shows those ideas may not be much more palatable than Ryan's plan. For example, allowing the retirement age to continue rising two months per year until it hits age 70 would cut initial benefits by nearly 20 percent for anyone turning 65 in 2050. The panel, meanwhile, is talking about cuts in initial benefits and annual cost-of-living raises.
Ryan spokesman Conor Sweeney said Goss did not analyze the full effect of Ryan's plan to balance the federal budget and ignored the congressman's proposal to guarantee a higher minimum benefit to low-income retirees. More to the point, Sweeney said, failing to overhaul Social Security — which is paying out more than it collects — would cause more harm
from: http://seattletimes.nwsource.com/html/nationworld/2013215065_gopretire21.html
GOP Social Security plan would target high earners
By Lori Montgomery
The Washington Post
WASHINGTON — A Republican plan to rein in Social Security costs would dramatically reduce retirement benefits for middle- and upper-income Americans, especially those now younger than 25, according to an analysis released Wednesday by the program's chief actuary.
The plan, by Rep. Paul Ryan, R-Wis., would reduce benefits by gradually increasing the retirement age and trimming benefits for the top 70 percent of earners.
Together, the two provisions would slice initial benefits by about a quarter for middle-income Americans who turn 65 in 2050, according to the analysis. Wealthier retirees would see even deeper cuts, losing about one-third of scheduled benefits in 2050 and more than half if they turn 65 in 2080.
The Ryan plan has been a frequent target for Democrats accusing the GOP of plotting to gut Social Security. But the report by Stephen Goss, chief actuary for the Social Security Administration, also examines other ideas for overhauling the program, including several under discussion by a bipartisan deficit-reduction commission appointed by President Obama. Leaders in both parties say Social Security may present the best opportunity for compromise on the commission, due to issue a report Dec. 1.
Goss' analysis shows those ideas may not be much more palatable than Ryan's plan. For example, allowing the retirement age to continue rising two months per year until it hits age 70 would cut initial benefits by nearly 20 percent for anyone turning 65 in 2050. The panel, meanwhile, is talking about cuts in initial benefits and annual cost-of-living raises.
Ryan spokesman Conor Sweeney said Goss did not analyze the full effect of Ryan's plan to balance the federal budget and ignored the congressman's proposal to guarantee a higher minimum benefit to low-income retirees. More to the point, Sweeney said, failing to overhaul Social Security — which is paying out more than it collects — would cause more harm
from: http://seattletimes.nwsource.com/html/nationworld/2013215065_gopretire21.html