General Discussion
In reply to the discussion: The only solution to the jobs problem is lower the Soc Sec age to age 50. [View all]Proud Public Servant
(2,097 posts)First of all, less people working does not mean more jobs available. The job pool is the job pool; the OP is suggesting we deal with that by eliminating workers. This reduces the number of workers vying for jobs, but does nothing to the number of jobs themselves.
Second, as several people have pointed out, retirement at 50 creates: (1) a much larger pool of social security recipients and (2) a much smaller pool of people generating social security revenue. At a minimum, you're doubling the number of people on social security AND doubling the amount of time they're receiving it (note that you'd have to do the same thing with Medicare, since SS recipients won't be able to afford private insurance). Now factor in that the people you're taking out of the FICA tax pool -- the 50-65 year olds -- are the ones who pay the most FICA tax, since you earn more at the end of your career.
Q: how high is FICA + Medicare going to have to be to finance all this? 25% is a good guess. Where does a working family find that?
To say nothing of my favorite part. I'm 50. If you tell me that I have to retire right now, live on a social security payment that represents about 1/4 of what I'm currently earning, sell my home (because I can no longer afford the mortgage), and stop paying for my daughter's education (again, unaffordable on SS) -- well, congrats: you just created a Republican voter.