Fiscal Commission Says Cut Social Security
National Committee President/CEO Barbara Kennelly?s Statement on Fiscal Commission Report Release
?The report released by the President?s Fiscal Commission today continues to lack the balanced approach to deficit and debt reduction the American people have said clearly and repeatedly they expect. Social Security never had a legitimate place in any deficit reduction discussion. Yet this Fiscal Commission report relies heavily on benefit cuts impacting working Americans to pay the price of failed economic policies of the past. It?s clear that too many in Washington will continue to search for a way to reduce Social Security benefits in order to avoid repaying the $2.6 trillion dollars in bonds currently credited to Social Security.If we?re truly concerned about the future of middle-class America, then strengthening Social Security by closing its modest funding gap is a critical first step. But the policy choices we make in strengthening Social Security should be guided by what?s good for the program and not what?s wrong with the budget. Washington must stop ignoring the critical role Social Security continues to play for older Americans, their families and the economy as a whole.This report does not meet that very basic standard of fiscal fairness and that is why it should not receive the 14 required commission votes to proceed. ??Barbara B. Kennelly, President/CEO
Call Congress TODAY!
There are 3.8 trillion reasons why you should take a minute today to call Congress and tell your representatives why cutting Social Security in the name of deficit reduction is fiscal and political suicide. The 3.8 trillion reasons represent the $3.8 trillion dollars you will contribute throughout your working life to the Social Security Trust Fund ? the fund that Washington?s fiscal hawks now don?t want to pay back. That was real money when it came out of your paycheck and it?s still real money ? not worthless IOU?s ? that the federal governmentpromised to repayworking Americans, that is, unless Washington passes benefit cuts like those proposed by the Fiscal Commission Chairmen.Today is National Call-In day and we urge everyone to make it clear to Washington that proposals to make deep cuts in Social Security has nothing to do with deficit reduction and everything to do with breaking a promise made to millions of Americans, including retirees, the disabled, survivors and their families.And while you?ve got them on the phone also make it clear that seniors need COLA relief. Congress is back in session for a few short weeks and this is their last chance to pass COLA relief for seniors this year. Please call your Senators and Representative and tell them to oppose budget-driven Social Security benefit cuts and put much needed $250 checks into the hands of older Americans by supporting H.R. 5987 and S. 1685.The National Committee?s toll free Legislative Hotline will connect you with your members of Congress with one simple call:
800-998-0180
What Can We Do?
A better path to fiscal responsibility would be investing in job creation and growth to broaden the revenue base in the near-term, raising revenue from new sources over the medium-term to stem the hemorrhaging caused by the Bush-era tax cuts for the very well-off, and reforming health care provision to generate long-run budgetary savings. In the present economic environment, the near-term austerity measures proposed by the Co-Chairs would be fiscally counterproductive and crippling to states, communities, and families, delaying a robust economic recovery for years.
In spite of all this, plans like Bowles/Simpson, are being pushed by fiscal hawks in the media and in television ad campaigns as the only way to fiscal solvency while ignoring other options, like Rep. Jan Schakowsky?s plan, which actually takes the economic realities facing working Americans into consideration.Thus, we come back to our headline?What can we (meaning non-Wall Street multi-billionaires) do to ensure our voices our heard? The answer is easy — Join the nationwide call-in day to Congress on Tuesday, November 30th. That?s the day before the Fiscal Commission is expected to release its final report to Congress and the perfect opportunity to let your representatives in Washington know that cutting Social Security and Medicare benefits is a one-way ticket to economic and political ruin.Our National Committee Legislative Action Hotline will connect you with your members in one toll-free call. Save the number and Mark your Calendars for:
National Call Congress Day
800-998-0180
We?ll provide an update and more details about this nationwide campaign after the holiday. Until then –stay tuned andSpread the Word!
Deficit-hawks: Same Song, Umpteenth Verse
Yet another in a long line of deficit hawk fiscal reports has been released today, this one by Fiscal Commission member Alice Rivlin and former GOP Senator Pete Domenici. Once again, cutting Social Security and Medicare benefits play a prominent role while largely ignoring the fact that our deficit crisis is really a healthcare crisis. The proposal, also ignores the fact that Social Security is not responsible for our deficits and without the $2.6 trillion dollar trust fund built up by American workers over decades, it would actually be much worse. Like the Simpson/Bowles proposal, this plan would cut benefits, reduce theCOLA and even though it doesn?t explicitly raise the retirement age it achieves basically the same end result :
This plan would “index the benefit formula for increases in life expectancy” starting in 2023. In both cases, the net result would be lower monthly benefits. It would also dramatically reduce benefits by changing the calculation of cost-of-living adjustments, and by chopping checks for top quarter of beneficiaries.
One approach unique to the Rivlin/Domenici plan is a one-year tax ?holiday? that suspends payment of $650 billion in Social Security payroll taxes for employers and employees. This tax holiday isn’t expected to affect the solvency of the trust funds because the authors claim the funds will be reimbursed in full from general revenues. Hmmmm. Let?s think about the current debate over extending the Bush tax cuts which have been scheduled, since their passage, to expire this year. The American people are now being told by deficit hawks that allowing the tax law to expire as promised is a ?tax hike?. Why wouldn?t they make the same argument about this payroll tax cut when it expires one year after its passage? Thereby positioning Social Security to lose $650 billion each year in lost payroll tax revenue, forcing it to be funded by general revenues (which we don?t have by the way). In short, future Social Security funding is thrown into the deficit/debt debate in an unprecedented way.Social Security has no place in a conversation about solving our deficit problem. Commission member Rep. Jan Schakowsky understands that. She?s proposed a deficit plan that doesn?t force the middle class to foot the bill. She?s proven it can be done, if there?s the political will to do it.Schakowsky proposes cutting $427.7 billion from the federal budget deficit by 2015, along with $200 billion in new stimulus spending to create jobs, $144.6 billion in tax increases, $110.7 billion in defense cuts and $17.2 billion in healthcare savings through a public option. The Huffington Post reported on her plan this way:
Schakowsky’s recommendations stand in stark contrast to the Bowles-Simpson recommendations which would reduce the rate of increase of Social Security benefits and gradually raise the retirement age, among other things.“Social Security has nothing to do with the deficit,” Schakowsky told reporters. “Addressing the Social Security issue as part of the deficit question is like attacking Iraq to retaliate for the September 11 attacks,” said Schakowsky.
And these deficit hawk proposals are being sold in much the same way?if you don?t support cutting benefits to millions of American retirees, the disabled, survivors and their families then you?re a ?political coward.?
Will Lame Duck Congress Pass COLA Relief?
Peterson is no stranger to the battle against America?s retirement safety net. He?s called the current cost of living increases in Social Security, which provide adjustments of roughly 3% a year, ?one of the greatest fiscal tragedies of American history? because he considers them excessive. At the same time, Peterson steadfastly defends a controversial private equity tax break that benefits America?s wealthiest investors. So much for fiscal responsibility.
With$1 billion dollars invested in his anti-Social Security , oops we mean fiscal responsibility campaign, passage of this COLA relief legislation will be difficult. In fact, members of Congress are being told they?re ?political cowards? if they don?t cut Social Security. Now is the time for you to let Congress know that cutting Social Security while extending tax breaks for the wealthy shows anything but political courage.Send your representatives in the House and Senate an email directly from our Legislative Action center on our website or from our Facebook page. You can use the sample letter we?ve provided or, even better, write your own. The COLA vote could come at any time so please forward the links to your friends and tell Congress to support COLA relief legislation.
Fiscal Commission Says Cut Social Security
National Committee President/CEO Barbara Kennelly?s Statement on Fiscal Commission Report Release
?The report released by the President?s Fiscal Commission today continues to lack the balanced approach to deficit and debt reduction the American people have said clearly and repeatedly they expect. Social Security never had a legitimate place in any deficit reduction discussion. Yet this Fiscal Commission report relies heavily on benefit cuts impacting working Americans to pay the price of failed economic policies of the past. It?s clear that too many in Washington will continue to search for a way to reduce Social Security benefits in order to avoid repaying the $2.6 trillion dollars in bonds currently credited to Social Security.If we?re truly concerned about the future of middle-class America, then strengthening Social Security by closing its modest funding gap is a critical first step. But the policy choices we make in strengthening Social Security should be guided by what?s good for the program and not what?s wrong with the budget. Washington must stop ignoring the critical role Social Security continues to play for older Americans, their families and the economy as a whole.This report does not meet that very basic standard of fiscal fairness and that is why it should not receive the 14 required commission votes to proceed. ??Barbara B. Kennelly, President/CEO
Call Congress TODAY!
800-998-0180
What Can We Do?
A better path to fiscal responsibility would be investing in job creation and growth to broaden the revenue base in the near-term, raising revenue from new sources over the medium-term to stem the hemorrhaging caused by the Bush-era tax cuts for the very well-off, and reforming health care provision to generate long-run budgetary savings. In the present economic environment, the near-term austerity measures proposed by the Co-Chairs would be fiscally counterproductive and crippling to states, communities, and families, delaying a robust economic recovery for years.
In spite of all this, plans like Bowles/Simpson, are being pushed by fiscal hawks in the media and in television ad campaigns as the only way to fiscal solvency while ignoring other options, like Rep. Jan Schakowsky?s plan, which actually takes the economic realities facing working Americans into consideration.Thus, we come back to our headline?What can we (meaning non-Wall Street multi-billionaires) do to ensure our voices our heard? The answer is easy — Join the nationwide call-in day to Congress on Tuesday, November 30th. That?s the day before the Fiscal Commission is expected to release its final report to Congress and the perfect opportunity to let your representatives in Washington know that cutting Social Security and Medicare benefits is a one-way ticket to economic and political ruin.Our National Committee Legislative Action Hotline will connect you with your members in one toll-free call. Save the number and Mark your Calendars for:
National Call Congress Day
800-998-0180
We?ll provide an update and more details about this nationwide campaign after the holiday. Until then –stay tuned andSpread the Word!
Deficit-hawks: Same Song, Umpteenth Verse
Yet another in a long line of deficit hawk fiscal reports has been released today, this one by Fiscal Commission member Alice Rivlin and former GOP Senator Pete Domenici. Once again, cutting Social Security and Medicare benefits play a prominent role while largely ignoring the fact that our deficit crisis is really a healthcare crisis. The proposal, also ignores the fact that Social Security is not responsible for our deficits and without the $2.6 trillion dollar trust fund built up by American workers over decades, it would actually be much worse. Like the Simpson/Bowles proposal, this plan would cut benefits, reduce theCOLA and even though it doesn?t explicitly raise the retirement age it achieves basically the same end result :
This plan would “index the benefit formula for increases in life expectancy” starting in 2023. In both cases, the net result would be lower monthly benefits. It would also dramatically reduce benefits by changing the calculation of cost-of-living adjustments, and by chopping checks for top quarter of beneficiaries.
One approach unique to the Rivlin/Domenici plan is a one-year tax ?holiday? that suspends payment of $650 billion in Social Security payroll taxes for employers and employees. This tax holiday isn’t expected to affect the solvency of the trust funds because the authors claim the funds will be reimbursed in full from general revenues. Hmmmm. Let?s think about the current debate over extending the Bush tax cuts which have been scheduled, since their passage, to expire this year. The American people are now being told by deficit hawks that allowing the tax law to expire as promised is a ?tax hike?. Why wouldn?t they make the same argument about this payroll tax cut when it expires one year after its passage? Thereby positioning Social Security to lose $650 billion each year in lost payroll tax revenue, forcing it to be funded by general revenues (which we don?t have by the way). In short, future Social Security funding is thrown into the deficit/debt debate in an unprecedented way.Social Security has no place in a conversation about solving our deficit problem. Commission member Rep. Jan Schakowsky understands that. She?s proposed a deficit plan that doesn?t force the middle class to foot the bill. She?s proven it can be done, if there?s the political will to do it.Schakowsky proposes cutting $427.7 billion from the federal budget deficit by 2015, along with $200 billion in new stimulus spending to create jobs, $144.6 billion in tax increases, $110.7 billion in defense cuts and $17.2 billion in healthcare savings through a public option. The Huffington Post reported on her plan this way:
Schakowsky’s recommendations stand in stark contrast to the Bowles-Simpson recommendations which would reduce the rate of increase of Social Security benefits and gradually raise the retirement age, among other things.“Social Security has nothing to do with the deficit,” Schakowsky told reporters. “Addressing the Social Security issue as part of the deficit question is like attacking Iraq to retaliate for the September 11 attacks,” said Schakowsky.
And these deficit hawk proposals are being sold in much the same way?if you don?t support cutting benefits to millions of American retirees, the disabled, survivors and their families then you?re a ?political coward.?
Will Lame Duck Congress Pass COLA Relief?
Peterson is no stranger to the battle against America?s retirement safety net. He?s called the current cost of living increases in Social Security, which provide adjustments of roughly 3% a year, ?one of the greatest fiscal tragedies of American history? because he considers them excessive. At the same time, Peterson steadfastly defends a controversial private equity tax break that benefits America?s wealthiest investors. So much for fiscal responsibility.
With$1 billion dollars invested in his anti-Social Security , oops we mean fiscal responsibility campaign, passage of this COLA relief legislation will be difficult. In fact, members of Congress are being told they?re ?political cowards? if they don?t cut Social Security. Now is the time for you to let Congress know that cutting Social Security while extending tax breaks for the wealthy shows anything but political courage.Send your representatives in the House and Senate an email directly from our Legislative Action center on our website or from our Facebook page. You can use the sample letter we?ve provided or, even better, write your own. The COLA vote could come at any time so please forward the links to your friends and tell Congress to support COLA relief legislation.