2016 social security ss

1

Matt Frankel, The Motley Fool

What The 2016 Presidential Election Could Mean For

Social Security

2

• In general, Democrats feel that Social Security should be kept as-is in terms of benefits and retirement age, and taxes should be increased to pay for the shortfall.

• On the other hand, Republicans tend to favor benefit cuts or retirement age increases to achieve solvency.

General trends

April 15, 2023

3

However, the 2016 presidential candidates have their own unique

positions…

April 15, 2023

4

• The top-tier Democratic presidential candidates are– Hillary Clinton– Bernie Sanders– Joe Biden

The Democrats

5

April 15, 2023

Hillary Clinton

• Clinton views Social Security as a necessity, and has vowed to defend it

• She favors increasing the payroll cap in order to prolong solvency

6

April 15, 2023

Bernie Sanders• Sanders not only wants to keep

Social Security, he wants to expand it

• He recently introduced a bill that would– Increase benefits by $65 per

month– Increase cost-of-living

adjustments– Set a minimum benefit amount

• He plans to fund this by subjecting all income over $250,000 to the payroll tax

• In addition to increasing benefits, this plan would keep SS solvent until 2060

7

April 15, 2023

Joe Biden

• Biden opposes any type of Social Security privatization

• In the past, he has favored increasing Social Security taxes on the rich in order to keep the system solvent

April 15, 2023

8

• There is no shortage of Republican candidates (over 35 as of August 2015), but we’ll take a look at– Donald Trump– Jeb Bush– Scott Walker– Mike Huckabee– Dr. Ben Carson– Ted Cruz– Marco Rubio– Chris Christie– Rand Paul

The Republicans

9

April 15, 2023

Donald Trump• Unlike the other Republican

candidates, Trump is opposed to any Social Security cuts

• He wants to eliminate waste (improper payments)

• Intends to find ways to increase Social Security’s income other than cutting benefits

Photo: Gage Skidmore

10

April 15, 2023

Jeb Bush

• Bush is in favor of increasing the normal retirement age to 68 or even 70

• He is also open to cutting SS benefits for the wealthy

• Ideally, he is in favor of privatization, but acknowledges that it will be a tough sell

Photo: Gage Skidmore

11

April 15, 2023

Scott Walker

• Walker is yet to speak extensively on Social Security, but has said the system needs “significant reforms”

• In the past, he has said that entitlement programs should be cutPhoto: Michael Vadon

12

April 15, 2023

Mike Huckabee• Huckabee believes the

funding method (payroll tax) is less than ideal, and wants to explore other methods of funding Social Security

• He also wants to see additional options for benefits, such as the ability of a retiree to receive a lump sum, rather than a lifetime of payments Photo: Gage Skidmore

13

April 15, 2023

Dr. Ben Carson• Carson is a proponent

of gradually increasing the retirement age

• Believes Social Security should be a supplemental program, and stresses personal responsibility for retirement savings

Photo: Gage Skidmore

14

April 15, 2023

Ted Cruz

• In addition to gradually increasing the retirement age, Cruz also wants to cap the growth rate of Social Security payments (cost-of-living increases)

• He is also in favor of some form of privatization

15

April 15, 2023

Marco Rubio

• Rubio is yet to unveil a specific plan, but says that the younger generations need to accept that the Social Security system they experience will be much different than their parents

16

April 15, 2023

Chris Christie• Christie has one of the most

specific and ambitious Social Security plans of any candidate thus far

• He intends to cut benefits for seniors who earn more than $80,000 per year, and eliminate benefits altogether for those earning more than $200,000

• He also wants to gradually increase the full retirement age to 69, and the early retirement age to 64 Photo: Michael Vadon

17

April 15, 2023

Rand Paul• Paul wants to preserve

the current level of benefits for retirees and near-retirees

• For younger Americans, Paul supports gradually increasing the retirement age and means-testing yearly earnings

18

The $60,000 Social Security Bonus You Need To Know About

CLICK HERE TO READ NOW