Day: April 23, 2019

Social Security Reform Needed Again As In 1983 Between Speaker Of The House Thomas “Tip” O’Neill And President Ronald Reagan

In 1983, Democratic Speaker of the House of Representatives Thomas “Tip” O’Neill, a clear cut liberal, negotiated with conservative Republican President Ronald Reagan a path breaking Social Security reform, raising the level of taxation on Social Security; and increasing the retirement age by stages to 66 and 67.

This was long range planning to insure that Social Security, begun in 1935 by Franklin D. Roosevelt, would survive into the long term future.

Ever since 1983, this bipartisan spirit has been hailed, but little action has been taken to insure the future, now that Social Security is in danger again.

Of course, the right wing conservatives would love to see the program die, as they opposed it bitterly at the time of passage in 1935 and ever since.

It is clear that if the Republicans control Congress after the 2020 elections, that they will work to kill the program so it is urgent that Democrats win the Presidency and control of both houses of Congress, and proceed to add one percent taxation to the program, and raise the retirement age by stages over the next 20 years to age 68, and eventually 69, for full benefits. More people than ever before work longer now than in past years.

A combination of both a one percent tax increase and age increases will save the system for the next 75 years until the end of the 21st century, and legislation needs to also force all unearned income from stocks to be taxed, as well as earned income from work.