What about this proposal?

Given all this talk about "entitlement reform," why not use it to our advantage? Propose this plan:

- Lift the cap on Social Security taxable wages.
- Cap the maximum benefit payout based on an inflation-adjusted taxable base of, say, $250,000. The combination of these first two steps will result in a MASSIVE infusion of funds into Social Security.
- Collect funds until there is enough to pay out projected full benefits for the next 40 years.
- After that point, use excess funds to pay down the national debt.
- Continue this cycle each year. Once there are enough funds to guarantee the next 40 years of benefits, use the excess to pay down the national debt.
- Once the national debt is completely paid down, other taxes may be adjusted lower as long as the government continues to break-even or run a surplus.

It is basically my reverse-Reagan policy. Reagan basically stole wealth from the poor and gave it to the rich by increasing Social Security taxes while lowering income taxes. Given the cap on Social Security taxable wages, this resulted in a net loss for most Americans but a net gain for the wealthiest Americans. Now, we use their plan against them. We aren't raising income taxes, in fact, they may result in them being lowered. Given how everyone wants "entitlement reform" but doesn't want benefits cut, this would help achieve that. People want to pay down the debt, well this would help do that. I'm sure the Republicans will argue against this proposal, but I'd love to watch them try. Most Americans already pay Social Security taxes on 100% of their wages, so I'm guessing they would see this as a more sensible and fair
system.

What do you think?

The high income group pays capitol gains taxes only, not on wages.