Democrats Attack Bush's Social Security Plan

[wicket]

http://www.boston.com/news/nation/washington/articles/2005/01/08/democrats_attack_bushs_social_security_plan/

Democrats accused President Bush on Saturday of trying to scare Americans into believing the Social Security retirement system is in crisis to build support for his private investment account plan.

In the weekly Democratic radio address, U.S. Rep. Charles Rangel of New York said there was no imminent crisis with program created during the Great Depression in 1935 to help lift the elderly out of poverty.

"The White House wants Americans to believe that Social Security is heading for an iceberg," he said. "They think that, by scaring people, they will help increase support for privatization."

-snip-

"Unfortunately, the president's proposal for privatized accounts makes Social Security weaker, not stronger," Rangel said. "It drains $2 trillion from the trust fund, leading to drastic cuts in benefits of more than 40 percent."

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WOO HOO!!! Keep up the heat!!! :kick:

[stray cat]

1. Bush wants us to entrust our social security funds to corps like Enron

Surely people who lost their retirement in the stock market recently can see this is not a good idea.

[papau]

2. Solution: No wage cap is equiv to 14.82 tax instead of 12.4 tax for OASDI

No wage cap is equiv to 14.82 tax instead of 12.4 tax for OASDI

http://www.ssa.gov/OACT/TR/TR04/II_cyoper.html#wp89438

From the detailed SSA reports we find that OASDI's wage capped (at $90,000 in 2005) 12.4% (6.2 to employee and 6.2% to employer) produced about $543B in 2001.

And HI's no wage cap 2.9% produced about $151B for 2001.

Therefore removing the wage cap would have increased the tax take for OASDI by 20%.

The Trustee's report says that the tax shortfall over 75 years averages 1.92% (this is actually much too high as it is inflated by not reflecting the excess assets and their interest that would occur should the tax increase be passed now when Soc Security is over funded that Bush uses the Soc Sec surplus monies to finance his tax cuts for the rich). In any case a 20% increase on the 12.4% amounts to 2.48% additional to the tax rate (greater than 1.92%) - meaning the overall tax rate would have to come down because we would be so over funded.

[DaedelusNemo]

12. That's good stuff! Thanks a lot! /nt

[Cha]

3. Everything bush touches gets "weaker"!

That's a no-brainer! But, thanks for pointing it out to the people who are clueless.

I hope the Dems win this battle!

[bklyncowgirl]

4. Dems need a plan of their own. You can't beat something with nothing.

If all the Democrats can say is "don't worry be happy" and "Bush is going to take your money and cut your benefits, Social Security will go down in defeat.

The Republicans have spent years building up their case for privatization. The Democrats have to get a plan and get it out there loud and clear as soon as possible

[yankeedem]

5. The plan should be

Take the cap off the contributions over $87k and on investment income. It will work to solve the "crisis" and is populist. Of course the pukes will call it a tax increase.

[InvisibleBallots]

15. Cut the Tax Cap!

Tax the rich, not the middle class!

[greenohio]

6. Its true.

Good post.

[Telly Savalas]

7. Say your kid has a mild flu...

Doctor A says several limbs should be amputated as a cure. Doctor B says that you shouldn't do anything. Clearly this is a case of nothing beating something, and it makes a good analogy for the Social Security situation with the exception that SS doesn't even have the flu.

From a PR standpoint I can see having an alternative being useful, but even then these should be presented as contigency plans. e.g.:"Social Security is just fine, so we don't need Bush messing with it. If things turn for the worse for whatever reason, we Democrats suggest A, B, and C as things that'll patch it up."

[Zookeeper]

9. Good point.

I think most middle-aged to elderly people don't want to see anyone "messing with it."

Is anyone aware of any surveys showing opinions on S.S. differing by age group?

[wicket]

11. exactly

:kick:

[DaedelusNemo]

13. Or, "if Bush really wanted to fix it, he'd just -" /nt

[Zookeeper]

8. Molly Ivins had a great column this week....

on Social Security. She writes that BushCo is about to launch a $50 to $100 million propaganda campaign to "convince us that Social Security is in crisis."

Contributors include: $9 million from Bush backers, Progress for America; as much as $15 million from the Club for Growth, corporate trade associations spearheaded by the National Association of Manufacturers; "Other likely contributors include the financial services and securities industries..."

I will use her column as "dropaganda."

http://www.alternet.org/columnists/story/20916

[wicket]

10. Molly Ivins rocks!

[proudbluestater]

14. Go, Charie, Go, Charlie, Go, Charlie, Go Charlie!

Dems have got to keep up the pressure on these freaks of nature!!

[wicket]

16. kick

:kick: