“Social Security will be insolvent in 12 years. And its $19.8 trillion unfunded obligation amounts to $154,000 for every household in the U.S.Reform is dire—the question is whether Social Security should be bigger, with higher taxes, or smaller, with more targeted benefits,” said Greszler in her testimony.
According to Greszler, the Social Security 2100 Act, plus Biden’s Build Back Better plan, would raise the top federal tax rate to 63.8%, and the top state and federal rate to 77% in California.
“These massive tax hikes won’t come close to paying for the new spending and they create economically destructive incentives for the most productive activities,” said Greszler.
Greszler recently released a report that warns Biden’s tax-and-spend legislation contains many policies that would make it harder to confront Social Security’s shortfalls.
Read more of Greszler’s work here.