Yes, Social Security, again, because people are still talking about cutting it.
First, repeating, Social Security does not, never has and by law never will add one dime to the deficit.
Second, Social Security can keep paying 100% of benefits at current levels until 2037. After that it can keep going at 80%, which adjusted for inflation is almost the same level as today.
Third, Social Security can keep paying at 100% of benefits at current levels until at least the end of the century if the payroll tax cap is raised. The tax was originally meant to apply to 80% of the population. Today, because of growing income inequality, it doesn’t apply to that much of the population. If the cap is raised to $180,000 from the current $106,000 it will be enough to cover benefits at 100% until the 22nd century.
What that means is that people who make $180,000 a year will pay the same percentage of their income in the tax as people who make $106,000, or those who make $50,000. In other words, right now the rich are getting a tax break that they can only keep if seniors and the disabled pay for it. Take the cap off entirely and there are no problems at all.
People who say that Social Security benefits need to be cut to reduce the deficit are lying.
Tuesday, April 19, 2011
Monday, April 18, 2011
Tax Day
No long rant about today. I don’t complain about the idea of taxes because I understand that government is necessary and it’s not free. I don’t like the way our taxes are currently structured, but I don’t expect government without taxes any more than I expect to walk out of the supermarket with a cart full of groceries without paying.
Predictions, cont.
Just a note to say that I have no follow-up on the budget speech because I want to see the details first. There were some good comments and some of the right words were said, but I will wait for action before forming any firm opinion on the thing.
Tuesday, April 12, 2011
Predictions
The next budget speech will mention letting the tax cuts for the wealthy expire in two years and also cutting funding and benefits for Medicare, Medicaid and Social Security.
When the budget is finished, the compromise will be to keep the tax cuts but cut funding to social services.
I hope that I am wrong.
When the budget is finished, the compromise will be to keep the tax cuts but cut funding to social services.
I hope that I am wrong.
Deficits
I'll say it again - Social Security does not, will not and by law can not increase the deficit. Not by a single cent.
Anyone who tells you otherwise is lying.
Anyone who tells you otherwise is lying.
Same as it ever was
The first test of what would become the Internet was a networked login from one computer in California to another Computer in California – at two different labs, not in the same building.
There was a slight communication snag just after the login began after the first two characters were typed in. So they tried again and it worked. Because of that little blip, they had to try the login twice, so the first three characters sent over the fledgling Internet were: LOL
There was a slight communication snag just after the login began after the first two characters were typed in. So they tried again and it worked. Because of that little blip, they had to try the login twice, so the first three characters sent over the fledgling Internet were: LOL
Thursday, April 7, 2011
Avoiding the issue
Is the budget too big?
There’s a lot of talk about cutting government spending but there’s no talk of why. There is no argument made other than the belief that government is too big and we should spend less. That is ideology not explanation.
How do we know if we’re spending too much money? I’m not talking about the deficit. A deficit can be eliminated easily by raising taxes. The question is about how much is being spent.
Are we spending too much?
I’m also not talking about waste. That’s a matter of where and how the money is spent. If there is waste fix the problems, but waste in one area does not mean that we are not spending too much. We might be spending too little elsewhere and we should shift the spending there.
Are we spending too much?
Maybe $2 trillion isn’t enough to run our government the way it should be run. It’s a lot of money to me, but maybe to run this country the way it should be our budget needs to be $6.5 trillion. No one is talking about how much is enough to maintain the standards that we expect of this country. How much is enough to serve the citizens the way we should be? No one is explaining anything, they just say what they want to spend, not why it is what should be spent.
So, are we spending too much, or not enough?
There’s a lot of talk about cutting government spending but there’s no talk of why. There is no argument made other than the belief that government is too big and we should spend less. That is ideology not explanation.
How do we know if we’re spending too much money? I’m not talking about the deficit. A deficit can be eliminated easily by raising taxes. The question is about how much is being spent.
Are we spending too much?
I’m also not talking about waste. That’s a matter of where and how the money is spent. If there is waste fix the problems, but waste in one area does not mean that we are not spending too much. We might be spending too little elsewhere and we should shift the spending there.
Are we spending too much?
Maybe $2 trillion isn’t enough to run our government the way it should be run. It’s a lot of money to me, but maybe to run this country the way it should be our budget needs to be $6.5 trillion. No one is talking about how much is enough to maintain the standards that we expect of this country. How much is enough to serve the citizens the way we should be? No one is explaining anything, they just say what they want to spend, not why it is what should be spent.
So, are we spending too much, or not enough?
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