Scene: Talking heads at a roundtable discussion of Social Security
How many people at this table make over $90,000 in a year? All of us do, right?Hey, a hobbit can dream, can't he?
Well, we know something that a lot of Americans watching us don't: after the first $90,000 in a year, we stop paying Social Security tax.
That means the payroll tax is regressive. Poor people pay a greater percentage of their income than we do. If this ceiling were eliminated, there would be no problem with Social Security. It would be fully funded.
Now why do you suppose we aren't talking about that?