At a House Ways & Means committee meeting, U.S. Rep. John Larson (D-CT) proposed to increase the Social Security tax and boost benefits, in an effort to strengthen the federal social welfare program.
The congressman has introduced the Social Security 2100 Act. He said in a statement it would ensure the solvency of the Social Security Trust Fund for the next 75 years and beyond, according to the independent analysis of the chief actuary of the Social Security Administration.
His legislation would gradually phase in an increase in the Social Security tax that, for the average worker, equals an additional 50 cents per week every year to keep the system solvent. From 2080-2084, the contribution rate would rise an additional 0.25 percent to ensure solvency beyond the next 75 years. The congressman said 83 percent of Americans support a gradual increase while 17 percent oppose it.
Larson said over 11 million Social Security recipients would see a tax cut. Presently, Social Security benefits are taxed for non-Social Security income exceeding $25,000 for an individual or $32,000 for couples. His bill would raise that threshold to $50,000 and $100,000 respectively.
There would also be a benefit bump for current and new beneficiaries. His bill provides a modest increase for all beneficiaries starting in 2016, equivalent to 2 percent of the average benefit.
