"Raising the retirement age would inflict further hardship among a group of workers who are likely to face health and economic problems in their 60s." –Doug Hart, President, Arizona Alliance for Retired Americans
The President’s Fiscal Commission suffered a defeat Friday morning, as 11 of 18 panel members voted to support their far-reaching deficit-cutting plan. However, 14 of the 18 members of the Commission needed to vote for it to make it an official recommendation, and Commission Co-chairs Erskine Bowles and Alan Simpson acknowledged that Congress will not consider their work at least until next year. “Retirees were very relieved today when Commission members rejected their Co-chairs’ proposal to balance the budget on the backs of retirees,” said Barbara J. Easterling, President of the Alliance. According to The Washington Post, the panel’s final blueprint for rebalancing the federal budget closely resembles the plan the Co-chairs released earlier. Like the original, it offers a prescription for reducing deficits by nearly $4 trillion by the end of the decade, in large part by slashing domestic spending, including Social Security. Future retirees would face significant sacrifices, including higher Medicare premiums and a retirement age of 69 in 2075. The proposal would also cut the annual Social Security Cost of Living Adjustment, and cut benefits overall for middle-income earners by 17% to 36%. The early retirement age would rise to 64 from 62. The final package would balance the budget more quickly than the original, wiping out annual deficits by 2035. To see how each panel member voted, go to http://bit.ly/eNp7FN.
Download a printable version