Opinion Writers Attack Moreno-Warren Social Security Tax Plan, Saying It Closes Only 30% Gap
Updated
Updated · The New York Times · Jul 11
Opinion Writers Attack Moreno-Warren Social Security Tax Plan, Saying It Closes Only 30% Gap
3 articles · Updated · The New York Times · Jul 11
Summary
Letters to the New York Times argue that scrapping Social Security’s payroll tax cap would fix only about 30% of the program’s long-term cash-flow deficit, challenging a June 24 essay by Senators Bernie Moreno and Elizabeth Warren.
Critics say the plan would hit wage earners rather than the richest Americans because capital gains-heavy billionaires could avoid the added burden while high-earning professionals would pay much more.
Top marginal tax rates could climb above 60% in some places under an uncapped payroll tax, the letters say, citing roughly 60% in New York City, 58% in Ohio and 62% in Massachusetts.
The broader argument is that relying on payroll taxes alone would distort Social Security’s anti-poverty mission and leave little room for future revenue measures needed to address the federal deficit.