Had we adopted proposals from the 1990s, the trust fund would be richer today
by Steve Levy
When the Social Security system was established in 1935, it had 42 workers for every retiree. Today, the ratio is a mere 2-to-3. At this rate, the system must reduce benefits to every retiree by about 21% in 2033 if nothing is done to shore it up.
Proposed fixes include significant tax increases on all taxpayers, raising the retirement age and further taxing Social Security recipients. Each of these options would be painful.
There is a better way.