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In reply to the discussion: Do you support "scrap the cap" if you make over $118,500, the current cap? [View all]TexasProgresive
(12,740 posts)45. Yeah, I see that
https://www.ssa.gov/policy/docs/policybriefs/pb2011-02.html
Table 1. Tax max levels, level-setting mechanisms, and policy rationales, 19372011 Years Tax max ($) Mechanism and policy rationale
19371950 3,000 Original amount; set by the House Ways and Means Committee.
19511954 3,600 Ad hoc increases set by Congress. Intended to maintain benefits
that would more closely resemble preretirement income for middle-
and higher-income workers while also increasing program revenue.
19551958 4,200
19591965 4,800
19661967 6,600
19681971 7,800
1972 9,000 Levels set by the 1972 amendments.a
1973 10,800
1974 13,200
1975 14,100 Levels set by wage indexing formula of 1972 amendments.
1976 15,300
1977 16,500
1978 17,700
1979 22,900 Ad hoc increases to levels determined by wage indexing formula.
Addressed system financing problems created by the "flawed" benefit
formula in the 1972 amendments.
1980 25,900
1981 29,700
1982 32,400 Levels set by wage indexing; indexing formula was adjusted slightly
by the Omnibus Budget Reconciliation Act of 1989.
1983 35,700
1984 37,800
1985 39,600
1986 42,000
1987 43,800
1988 45,000
1989 48,000
1990 51,300
1991 53,400
1992 55,500
1993 57,600
1994 60,600
1995 61,200
1996 62,700
1997 65,400
1998 68,400
1999 72,600
2000 76,200
2001 80,400
2002 84,900
2003 87,000
2004 87,900
2005 90,000
2006 94,200
2007 97,500
2008 102,000
2009 106,800
2010 106,800
2011 106,800
SOURCE: SSA 2010a.
a. The 1972 amendments set the 1974 level at $12,000; subsequent legislation raised the tax max to $13,200 (see note 5).
Table 1. Tax max levels, level-setting mechanisms, and policy rationales, 19372011 Years Tax max ($) Mechanism and policy rationale
19371950 3,000 Original amount; set by the House Ways and Means Committee.
19511954 3,600 Ad hoc increases set by Congress. Intended to maintain benefits
that would more closely resemble preretirement income for middle-
and higher-income workers while also increasing program revenue.
19551958 4,200
19591965 4,800
19661967 6,600
19681971 7,800
1972 9,000 Levels set by the 1972 amendments.a
1973 10,800
1974 13,200
1975 14,100 Levels set by wage indexing formula of 1972 amendments.
1976 15,300
1977 16,500
1978 17,700
1979 22,900 Ad hoc increases to levels determined by wage indexing formula.
Addressed system financing problems created by the "flawed" benefit
formula in the 1972 amendments.
1980 25,900
1981 29,700
1982 32,400 Levels set by wage indexing; indexing formula was adjusted slightly
by the Omnibus Budget Reconciliation Act of 1989.
1983 35,700
1984 37,800
1985 39,600
1986 42,000
1987 43,800
1988 45,000
1989 48,000
1990 51,300
1991 53,400
1992 55,500
1993 57,600
1994 60,600
1995 61,200
1996 62,700
1997 65,400
1998 68,400
1999 72,600
2000 76,200
2001 80,400
2002 84,900
2003 87,000
2004 87,900
2005 90,000
2006 94,200
2007 97,500
2008 102,000
2009 106,800
2010 106,800
2011 106,800
SOURCE: SSA 2010a.
a. The 1972 amendments set the 1974 level at $12,000; subsequent legislation raised the tax max to $13,200 (see note 5).
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Do you support "scrap the cap" if you make over $118,500, the current cap? [View all]
randys1
Dec 2015
OP
I know and in Congress it would be a quick fix if they didn't hate grandma so much.
Vinca
Dec 2015
#14
That is already done since 1983 when Reagan started taxing up to 50% of SS benifits, then
doc03
Dec 2015
#19
+1. good and proper answer. Black and white questions/answers are usually off the
wiggs
Dec 2015
#25
Millions of Americans pay into the fund their entire lives and never draw a dime in retirement.
stopbush
Dec 2015
#83
NO! Not unless the SS payments when they retire is higher. SS is not a handout, you pay for it!! nt
Logical
Dec 2015
#15
Thats the curent system, I don't forsee it being changed if the cap is raised.
notadmblnd
Dec 2015
#28
It is not an early withdrawal I am 67 and I am not working. My SS income and pension comes to over
doc03
Dec 2015
#33
I retired at the end of 2000 and I was always just a couple of months over the cap
tularetom
Dec 2015
#20
and quit cheating people who paid in and get only 10% of what they should get nt
msongs
Dec 2015
#21
Functionally, no that isn't correct. Asset price increases have far outstripped inflation.
Zynx
Dec 2015
#48
I agree that the change should come from the employer's side of the equation.
Gormy Cuss
Dec 2015
#71
Why did you answer a question with a question? If you dont support lifting the cap
randys1
Dec 2015
#70
Yes! Sometimes the bonus takes us over the imit, but I'd rather see Social Security sound and
hedgehog
Dec 2015
#67
Of course not, either we want gramma eating dog food or we dont. Make up your mind.
randys1
Dec 2015
#80
I dont know, I also dont know what the actual numbers are on this, if you did scrap
randys1
Dec 2015
#81
I made over the cap limit for about 5 years back in the mid-late 90s. Yes. Would vote to scrap it
magical thyme
Dec 2015
#87