We Must Not Bully Seniors into Shouldering Such a Massive Percentage of the Debt

November 10, 2010

Plan from Fiscal Commission Co-chairs is Ridiculous

 

For Immediate Release
November 10, 2010


The following statement was issued today by Edward F. Coyle, Executive Director of the Alliance for Retired Americans, in response to a proposal by the co-chairmen of the White House Fiscal Commission, Erskine Bowles and former Sen. Alan Simpson: 

 

“The Bowles-Simpson proposal is not a package we can support.  In fact, it is a package we will strongly oppose.

 

“While seniors are more than willing to pay their fair share to reduce the nation’s debt, we must not turn to them to pay off such a huge portion of what was accumulated by the entire country. 

 

“Raising the retirement age to 69 is not a viable solution when so many older workers in difficult jobs are already struggling.

 

“The Social Security cuts would hit current retirees, contrary to what was promised, since the change in the Consumer Price Index (CPI) seems to take effect immediately. This will lower seniors’ benefits by about 3% after they have been retired for 10 years, and by about 6 % after 20 years.

 

“Changing the CPI is an attack on the middle class. For the purposes of cutting Social Security, you are affluent if your average wage earnings were over $35,000.  People making $35,000 don’t feel ‘affluent.’

 

“A better proposal is raising the payroll tax cap on Social Security taxes for the wealthiest Americans. It is ridiculous that billionaires pay the same amount into the system as someone earning $106,800.

 

“In addition, the Fiscal Commission Chairs apparently never considered a Wall Street financial speculation tax. It recognizes the enormous amount of waste in the financial sector. It is possible to raise more than $100 billion a year with this tax, with very little impact to real economic activity.

 

“We must not bully seniors into shouldering such a massive percentage of the debt while Wall Street millionaires once again just skate on through scot-free.”


Contact:
David Blank (202) 637-5275
dblank@retiredamericans.org

 
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