Sanders Unveils Plan to Close Social Security's $29 Trillion Gap for 75 Years
Updated
Updated · The Washington Post · Jun 17
Sanders Unveils Plan to Close Social Security's $29 Trillion Gap for 75 Years
3 articles · Updated · The Washington Post · Jun 17
Summary
Bernie Sanders said his bill would scrap the $184,500 payroll-tax cap, erase Social Security’s projected funding gap for 75 years and expand benefits by $2,400 a year.
The proposal follows trustees’ estimate that Social Security faces a roughly $29 trillion shortfall over the next 75 years, with Sanders arguing billionaires such as Elon Musk now pay the same Social Security tax as many high earners.
Under the plan described in the report, top federal tax rates would rise sharply—potentially to 49.4% on wages and 36.2% on capital gains—with New York City’s combined top rate reaching 64.1%.
The debate centers on whether lifting the cap would break Social Security’s traditional link between contributions and benefits, since earnings above the cap now neither face payroll tax nor generate larger retirement checks.
The broader fight is over how to shore up the program: Sanders backs higher taxes and broader benefits, while critics argue trimming payments for wealthier retirees would better preserve the system.