Changes made to the Social Security system to reduce insolvency need to be tweaked even more. That according to former Omaha mayor and Nebraska Congressman Hal Daub who chaired the Social Security Advisory Board under President George W. Bush.
“Commence slowly to raise the retirement age again to 69 or 70.”
Daub says if the system is to remain solvent, more changes will need to be made. He says employee and employer contributions need to increase.
“Raise the FICA cap, not the rate because that will hurt poor and lower middle income if you raise the rate on their first dollar of earnings.”
Daub says people may have to work longer and the salary lid on paying into the system needs to be set at a much higher level.
“Raise both benefit age starting in 2022 and at the same time raise the early age to 64 or 65.”
Current changes push the full retirement ages in increments to age 68 by the year 2021. Daub says these changes are needed to prevent Social Security from going bankrupt. He also suggests those who don’t pay into Social Security should not be eligible for Medicare when they reach age 65.