1. Beginning immediately the retirement eligibility age for Social Security will be increased by
months and will increase two months per year after that until the age until the age
2. No cuts for existing recipients but a three year suspension of COLA increases for three years.
3. Current employee and employer witholding will remain in place if a national sales tax is implemented.
4. Proposed long term modifications to the system that will return Social Security to the safety net that it was intended.
A. Every citizen younger than 45 (at the time of the bills passage) will receive a
minimum basic monthly
payment when they reach age 70. These payments will originate
from the general fund. This will apply
to federal workers and military as well and their
retirement payments shall be reduced by the amount
of these minimum payments.
B. Citizens older than 45 (at the time of passage of the law) shall have the option to continue
have the employer contribution paid to SS and will receive the benefits as currently promised
(except the retirement age).
C. Citizens under 45 and those older who choose to opt out of the existing plan will have the employer
contribution paid to their personal IRA acccount.
1. They will receive the minimum payment at age 70.
2. A 20% penalty shall be placed on
funds withdrawn before the employee reaches the age of 60
3. These funds can be used one
time, without penalty, to make a down payment on their primary residence.
4. No capital gains tax will be assessed against funds left in the IRA
5. Citizen's will be allowed to put an additional $50,000 over any five year period into this account.
1. Raise the out of pocket cost of a doctor's visit
2. Suspend the prescription drug benefit until the budget is balanced.
3. More changes will be necessary once Obamacare is sorted out .