Friday, October 07, 2016

Proposals to means-test social security benefits, or privatize it, continue to flow in

The Washington Post featured three op-eds Oct. 6 on the sustainability of social security (“The Missing Debate, p A15, Friday Oct. 7), but the most challenging seems to be Rcahel Greszler, “Return to the system’s anti-poverty roots

Greszler does not want to means test current or near retirees, but believes for younger workers it should become totally means tested, and be largely replaced by a privatized system that would be managed largely by life insurance companies as quasi-annuities with special tax rules.  That would certainly create some jobs in the life insurance software industry, as the products would have to be programmed by companies like Vantage.

But the Foundation for Economic Education, in a piece by Brenton Smith, wants to “just end it” and stiff everyone who paid into it.

There are also proposals to cut benefits for everyone by about 20% and then means test.