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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsTrump could unilaterally end social security payments (if re-elected)
https://www.cnn.com/2020/09/01/opinions/social-security-payroll-trump-altman/index.htmlDonald Trump once claimed that he could shoot someone in the middle of Fifth Avenue in New York City and not lose any voters. He's now seeing whether the same is true if he kills Social Security.
His unilateral, unprecedented step of deferring the collection of payroll taxes, the backbone of Social Security, is the murder weapon he would use.
Trump has already ordered the Treasury Department to stop collecting Social Security's dedicated payroll contributions for the next four months pursuant to the Internal Revenue Code, which permits deferrals of taxes when a disaster is declared. Once re-elected, if he keeps deferring those taxes, all benefits will come to a screeching halt, with no Congressional involvement whatsoever.
According to estimates from the independent chief actuary of the Social Security Administration, if all Social Security contributions from payroll tax stopped on Jan. 1, 2021, the nearly 10 million people today getting Social Security Disability Insurance benefits, which averages about $1,125 every month, would see them stop abruptly in the middle of 2021. Those 55 million receiving Social Security Old-Age and Survivors Insurance benefits, which average around $1,440 a month, would see them disappear two years later. Social Security would be without money to pay benefits by 2023 (Congress could only stop Trump by enacting veto-proof legislation, a highly unlikely proposition).
samplegirl
(11,502 posts)Demovictory9
(32,475 posts)smirkymonkey
(63,221 posts)It will be hugely unpopular and it is something that is funded out of our own payroll money. Why do the republicans feel like they need to cut this and Medicare?
Don't they realize how much of an uproar there will be? Also, what makes them think that this money belongs to them? We pay into this to insure our security later on in life. Why do they feel entitled to our tax dollars? What skin is it off their teeth?
Demovictory9
(32,475 posts)Paul Ryan was hell bent on ending SS.
smirkymonkey
(63,221 posts)We pay for this through our payroll taxes our entire lives. This is a separate fund. They are not entitled to this money. I can't understand their rationale. This is OUR money. It is NOT an entitlement. How dare they steal money that we have contributed our entire lives to insure our retirement security! This does not belong to them!
JustABozoOnThisBus
(23,367 posts)Trump despises all of us.
Sherman A1
(38,958 posts)We paid in and now they want to simply take our money from us.
misanthrope
(7,428 posts)of the late 1800s. No environmental regulations, no labor regulations, no worker safety laws, no consumer protections, no minimum wage, no unions, no public housing, no transportation department, no public schools, no public assistance, no social safety net, as little public sector as possible.
So, you know, Somalia.
smirkymonkey
(63,221 posts)How much money do they need? They already have it all anyway. What makes them so cruel? Don't they realize that once people have nothing to lose that they will come after them? I will never understand their warped mentality as long as I live.
Celerity
(43,535 posts)Also add in almost civil rights, all gains post (and including Brown itself) Brown v Board rolled back, plus they want to nationally criminalise almost all abortions, with VERY small exceptions. The most radical quarter to third would love to re-legalise chattel slavery for PoC and debt slavery/imprisonment for all races. They want Gilead (without the token PoC that that The Handmaid's Tale has).
samplegirl
(11,502 posts)They can wait to bankrupt it!
Demovictory9
(32,475 posts)Thekaspervote
(32,796 posts)Demovictory9
(32,475 posts)me". while undermining SS. and he'll get away with the lie
BadgerMom
(2,771 posts)Citizens were up in arms in 2017 as health care marched to the chopping block. Congressional offices were swamped with calls to protect pre-existing condition coverage. McCains vote stopped him (thank god), but people remembered in 2018. It was a major contributor to the successful Democratic victory the 2018 election.
Demovictory9
(32,475 posts)regnaD kciN
(26,045 posts)...I think youd see a genuine revolution in this country.
diverdownjt
(702 posts)Guaranteed to to be 20 million people cause she gonna need junior to push her chair
or carry her bag. And I dare one cop to get in their way. There would ten of us guarding
her if my grandma goes to washington to set things straight.
Me and all my cousins gonna go.....I'm sure t-rump likes little old lady's not in wheelchairs.
PoindexterOglethorpe
(25,902 posts)rise up and cause a fuck of a lot of damage.
Many here on DU have made it clear that SS is a significant, and sometimes only source of income.
I'm someone for whom SS is about a third of my income (which is what it was intended to be, one leg of a three - legged stool) but that's simply not the reality for a lot of people.
Here's the essential problem. For some large number of people SS is a very large portion of their income. For many it is the only income. But for those, like members of Congress, that reality isn't a part of their life. They haven't a clue what it is like to live on such a limited amount of money. For them, losing SS is trivial. But it is not trivial for a whole lot of people.
Were I to lose all of my SS, I'd be constrained but I could probably get by.
Here's something else to keep in mind. A number of companies out there have been able to get out from under their pension obligations, typically be declaring bankruptcy. I used to work for a major airline and was vested in their pension program. Luckily for me I only worked there ten years, and always figured any pension I'd get would be trivial. Well, this was a company that got to declare bankruptcy and divest itself of its pension obligations. While it is somewhat annoying that my current pension is less than one third of what it should be, at least I'd always assumed it wouldn't be very much. But those who worked there 20 or 30 or even more years, who'd counted on that pension to be a significant part of their income in retirement, who'd done EVERYTHING Republicans tell them the should do, they've been totally screwed.
This is a lot of why I tell people 401k plans are far better than they understand, because they get to take that money with them. It doesn't just disappear like my pension.
diverdownjt
(702 posts)You would be like hey wait a minute that's my money....right?
So why do Magat's want their money stolen..
SS money is your money that the govt. took so it could give it back over time.
securing the social safety net. We wont have Ethel, who lives all by herself
cause that's the way she wants it and no one tellin' her otherwise, dying of
starvation cause her money ran out.
It's my money...I will have it....or there will be trouble.
roamer65
(36,747 posts)How can they? By mandating minimum purchases of US government debt. Congress has the power to do it.
Karma13612
(4,554 posts)Rely HEAVILY on SS until Im 71.
I dont want to tap my savings and meager 401K for another 4 - 5 years.
At 71, I will start to take disbursements (is that what theyre called?) but will still need my SS to afford the basics, no frills. I just expect to live a long time since my Mom made it to 95!
I hate that the only alternative to SS seems to be stock market based 401Ks because the interest on savings accounts are non-existent. The stock market gives me roller-coaster stomach so damn much. It is not reliable and for those of us who arent really financially savvy, We can make investment mistakes that cause years of hardship later in life.
I swear, if my money runs out before I pass, I might just have to look at quality of life and is it worth it to keep going if you cant get around, cant see well enuf to read and are just sitting in a nursing home bed ( on the state because your money has run out except for SS!!), Twidling your thumbs.
This turned out to be a bit more morbid than I intended.
Once COVID starts to abate (hopefully in the Spring things will look better), I plan on getting back on the employment wagon. I dont think I have a choice. And I am still pretty spry.
SammyWinstonJack
(44,130 posts)WTG DEPLORABLES.
Karma13612
(4,554 posts)Benefits.
So, this deferrral/cancelling of the deductions needs to be advertised far and wide. We seniors will cause a HUGE stink as this is going to hit us as quickly as 2023.
But, I dont think Trump can actually cancel it completely. I would think that Congress would have something to say about it.
BComplex
(8,066 posts)We really need a veto-proof majority in both houses.
Celerity
(43,535 posts)Long term (by 2027) and assuming my map above becomes reality
IF we flip both TX seats Blue, and then make AK (so tough with Murkowski), OH, GA, and WV (impossible and it goes back to all red when Manchin leaves) all Blue, you do get to 67 (Kansas will be impossible to make both seats Blue for a long time, hell Bollier winning in 2020 will be a huge upset now that Kobach lost the Rethug primary), but that is literally winning almost every possible seat (maybe one KY seat can replace WV when Manchin goes, but both seats Blue there is almost as hard as KS) and holding them all. Most all the red states are getting redder (IN and MO being great examples), with the exception (huge for POTUS) of TX and GA. TN was a huge lost opportunity the past two (2018 and 2020, both open seats) elections as Tim McGraw turned down running for both, when he said he would run for Senate for ages (when he turned 50, and he is 53 now). He could have won either race, especially 2018.
BComplex
(8,066 posts)Very interesting figures. We have our work cut out for us, but we have to get the mainstream media to quit treating fox propaganda as if it's a legitimate news agency first. That's where a great deal of our problems are coming from.
Along with figuring out a way to keep foreign nations from using our "freedom of the press" to spread their divisive conspiracy theories, which maybe requires reeling in facebook and twitter, we have a lot of things that we need to do to save our country.
Celerity
(43,535 posts)more states (DC, Puerto Rico, split California into NoCal and SoCal and maybe even Western OK aka the American Indian part, which would ad 6 to 8 new Dem senators) are added and the size of the House is MASSIVELY expanded members-wise (at least to 1001, preferably 1201 or even more) which guts the inherent unfairness of the number of EV's the states have now.
If the US House had the same ratio of reps to constituents that the Swedish Riksdag (our unicameral parliament) did, it would have around 11,500 members. 435 House Reps is insanely low for a nation of 331 million people. It only takes an Act of Congress to increase the size, not a constitutional amendment.
Congress Needs to Be Way, Way Bigger
https://www.theatlantic.com/ideas/archive/2020/05/congress-needs-be-way-way-bigger/611068/
also, just google
increase the size of the US House
BComplex
(8,066 posts)I wish to god that our mainstream press could educate our citizens instead of appeal to their baser needs for bling on the news.
A great many people have no idea what government is even for. The pandemic has helped some, but there's so much more. And there's no public way to overcome the terrible damage reagan did in calling for smaller...ne NO government..."government is the problem" thinking. A good government is all of the people working together through an agreed-upon system. Our basic structure (house of reps., gerrymandered districts) of government is broken.
Celerity
(43,535 posts)and that spillover will be monstrous
It could rob Blue states of EV's, steal hundreds of billions (maybe trillions) in government transfer payments, and help the Rethugs maintain control of state legislatures, which in terms allows them to do even more illegal Federal gerrymandering. 10 more years of deadly rot and skulduggery.
If Rumps steals this election and the Rethugs hold the Senate, (and perhaps even steal back the House) I will be shocked if the union makes it to 250 years of Constitutional control and governance (they will likely take the SCOTUS to 7-2 or even 8-1 hard RW (8-1 if Sotomayor's chronic type 1 diabetes does her in, as she has been hospitalised multiple times for it) plus they may replace Thomas with a younger model thug.
Constitution of the United States
Date effective: March 4, 1789
First legislature: March 4, 1789
First executive: April 30, 1789
First court: February 2, 1790
BComplex
(8,066 posts)There's no doubt.
roamer65
(36,747 posts)As more moderate and younger voters migrate to the large cities and suburbs, it leaves many states with larger older populations and more Repukeish leanings...like WV, AL, MS, etc, etc.
The big problem is that the current constitutional structure of the Senate makes change for the majority of the population in this instance nearly impossible.
A Catch 22...they veto the change so desperately needed.
Fastest and best quick fix is elimination of the filibuster.
Cha
(297,692 posts)All for himself.
no_hypocrisy
(46,193 posts)Does this EO mean that if my employer chooses to deduct and send to the IRS my payroll tax after all this, that the money will not be accepted and deposited. It will be refused?
Ms. Toad
(34,093 posts)but did not require them not to withhold it. (But I haven't read the order recently)
ProfessorGAC
(65,192 posts)And the Chamber of Commerce, National Association of Manufacturers, and the American Chemical Council recommended against doing it to their member businesses.
I don't know how many other industry associations did likewise, but just those 3 represent about $5.5 trillion to the GDP.
Military & federal departments are doing it, because they were ordered to.
I can't see how small businesses would manage it well. So, that might be another couple trillion in GDP value.
BTW: I don't see the threat in the OP as credible. There'd be a veto proof majority in Congress rescinding the order in a hot minute.
And, courts would likely stay the order pending full judicial review.
This seems awfully close to law by fiat.
Ms. Toad
(34,093 posts)Payment of funds is not dependent on how those funds are collected. All the order did was permit the employer not to withhold them. Failure to withhold does not mean they are not owed - they will just be extracted from taxpayers on or before April 15 (they same way FICA payments are extracted from independent contractors, or on unreported tips when advance payments are not made by the taxpayer.)
It's a really vile way of snookering people into believing they are getting a tax break, knowing that sledgehammer to collect will come after the November election.
ProfessorGAC
(65,192 posts)Smoke & mirrors to sucker the rubes.
dalton99a
(81,598 posts)sarcasmo
(23,968 posts)Ms. Toad
(34,093 posts)(and even that is questionable) is to suspend employer collection of the payments.
Taxpayers still owe them. When you complete your taxes in January - April, you will discover a huge tax bill (all of the payments not collected by your employer).
Part of the process of reconciling taxes with amounts paid through the employer includes social security taxes owed against social security taxes paid in on your behalf by your employer. Your taxes will be short - so you (not your employer) will be on the hook for it.
In other words, the money is still coming in - just directly from you, rather than withheld and paid on your half by the employer.
The mechanism of payment of taxes (direct from you v. withheld and paid by your employer) has nothing to do with the payment of benefits to retired individuals.