America’s stupidest inflation idea, 2024 edition . . .
Photo above – President Obama cut social security payroll taxes in December 2010, even though the trust fund was rapidly being depleted.
My mom is crying. (Not really, I haven’t shown her the link at the bottom yet). 2025 social security benefits are only going up 2.5%. Actually, that’s the consensus inflation rate predicted by credentialed economists . . . the ones who aren't on the US government payroll. The government’s own economists are forecasting something better, of course.
Although my mom’s 2.5% increase isn’t a tragedy, nobody has announced what the 2025 Medicare part B rate hike will be yet. Last year it was 6%, but the social security benefits only went up 3%. So Medicare part B seems to be rising twice as fast as the actual social security benefits. (“What god giveth with one hand, he taketh away with the other” - Book of Job, 1.21 . . . )
But that’s NOT my gripe today. The article goes on to insist that fair treatment of social security retirees would be AT LEAST a 3% annual increase, no matter how low inflation was over the year.
Yeah . . . um . . . that doesn’t make sense. Always give people way more than the actual inflation rate? This seems guaranteed to deplete the social security trust fund even quicker. It’s already scheduled to go broke in 10 years (2034). Hiking benefits faster only brings doomsday more quickly. People will still have social security checks after doomsday, but the problem will have to be solved by CUTTING benefits on that day ,or raising social security taxes dramatically. (It could be both, if we want an adventure.)
Raise your hand if you personally want to pay higher social security withholding tax into a system that possibly won’t exist when you reach 67, 69, 71, or whatever they raise the retirement age to by then. I only see a few hands up, from people who don’t make enough money to pay INCOME taxes in the first place. Deep thinkers, you!
The real solution to this mess, of course, is to stop inflating the dollar. Stop borrowing and spending trillions we don’t have every year. This endless cycle of borrowing and spending creates an inflationary paper currency called “Treasury Bills” for the benefit of Wall Street and foreign buyers of US debt.
And while we're on the topic, let's start building enough new homes to match the rate of population growth, instead of the current game of housing musical chairs.
I’m just sayin’ . . .
Seniors to get moderate cost of living bump in Social Security payments next year | Fox Business