Social Security and Medicare are not “almost bankrupt,” as suggested by Dan Alger Sr.’s letter (“Take care of Americans first,” Our Readers’ Views, May 17). But it is true that a funding crisis looms on the horizon, due to the fact that there are fewer younger workers paying into the system and more retired persons who now depend on the benefits of both systems.
Congress has for years failed to enact a simple solution to funding both systems. The current cap on income that is subject to the Social Security tax, or FICA, is $168,000. Taxpayers who have more than this amount of income do not contribute to the Social Security fund for income in excess of this amount.
To better fund Social Security and Medicare, we need to raise the cap on taxation of income. Those making better than $168,000 per year can surely afford a modest tax increase that would support all of us in our retirement. We should all urge Congress to take action on this issue before the funds eventually become insolvent.
