March 07, 2023

Alliance Marks Scrap the Cap Day

People earning one million dollars or more each year stopped contributing to Social Security for the rest of 2023 on February 28. For 2023, Social Security taxes are only paid on the first $160,200 of wage income.

Several members of Congress have introduced bills this year that would expand Social Security and require the wealthiest Americans to pay their fair share into Social Security by raising or eliminating the cap on wages subject to the payroll tax. All of these bills would increase both the solvency of the Trust Fund and increase benefits.

Others on Capitol Hill are discussing significant changes to Social Security, including reportedly raising the retirement age and allowing the Trust Fund to be invested in the stock market.

According to Semafor, a bipartisan group of senators led by Sens. Angus King (I-ME) and Bill Cassidy (R-LA) is considering a plan to gradually raise the retirement age to “about 70” as part of discussions to overhaul Social Security.

“Raising the retirement age and allowing Wall Street to gamble with our earned benefits is unacceptable,” said Robert Roach, Jr., President of the Alliance. “We don’t need gimmicks or schemes when we can strengthen the Trust Fund by requiring the wealthiest among us to pay their fair share.”