Joe Biden's Social Security Plan

One way to save and prolong social security is to increase the social security tax. Some Democrats (Joe Biden proposed this during the one Democratic Presidential Debate) are in favor of this while most Republicans are against the idea. Currently the social security tax is capped at $97,500 dollars. What that means is that a person who makes $90,000 dollars per year has all of their salary subjected to social security tax. On the other hand, if a person makes $500,000 dollars per year, only $97,500 dollars is subject to social security tax. Some Democrats feel that by raising the social security tax cap to $120,000 a year, and then it could prolong social security for an additional twenty-five years. The problem with this tax is that it will once again take money from wealthy people. This money could bolster the economy when it is used to purchase goods and services. Hence, the higher tax could have a negative effect on the economy and could put the United States into a depression. This could have an opposite affect on social security funding as discussed above. One thing that Democrats fail to consider when they proposed this tax increase is that each employer is also responsible to match our social security tax to the government. By increasing the cap to $120,000, corporate taxes on both large and small businesses will also increase. For small business owners this can be a huge burden. However for large businesses it may not hurt them as much but it will still affect their bottom line. If corporate earnings go down, the stock market and the economy will be affected. A compromise would be for the government to raise the tax cap for the wealthy, but not for small businesses and or large corporations. However, any tax could affect the economy. For these reasons, I am against raising the social security taxes because it will affect trickle down or supply side economics and corporate earnings, which will hurt the economy. The worst thing that the government needs to do is to take an unnecessary risk that could jeopardize the economy that could possibly lead this country into a recession that would negate the purpose of the social security tax increase. The other key factor to keep in mind when raising the social security cap it does not permanently fix social security. It only saves it for another twenty-five years at which point the government would be forced to make another tax rate increase to fix social security for another few years. Raising taxes is the easiest and the laziest way for the government to handle problem. It is their way of passing the burden of their failed policy on the American public. It is another example of irresponsible leadership that fails to learn from its mistakes and continues to solve problems by throwing money at them instead of fixing the root cause of the problem.