Share on Google Plus Share on Twitter 17 Share on Facebook 3 Share on LinkedIn Share on PInterest Share on Fark! Share on Reddit Share on StumbleUpon Tell A Friend 7 (27 Shares)  
Printer Friendly Page Save As Favorite View Favorites View Stats   6 comments

General News

Sanders Warns of Devastating Cuts in Social Security

By (about the author)     Permalink       (Page 1 of 1 pages)
Related Topic(s): , Add Tags Add to My Group(s)

View Ratings | Rate It Headlined to H3 7/9/11

Become a Fan
  (104 fans)
- Advertisement -
Cites New Office of Retirement Policy Report

Social Security cuts under consideration by the White House in deficit-reduction talks would drive 245,000 people into poverty and lower widows' benefits $1,200 a year by 2050, according to Social Security Administration calculations provided to Sen. Bernie Sanders (I-Vt.).

Changing the way inflation is measured to determine Social Security benefits is one option on the table in high-stakes budget negotiations that resume Sunday at the White House. The so-called Chained Consumer Price Index on average results in a lower inflation levels than the more common formula used to adjust benefits.

"The result would be devastating cuts for millions of American seniors and people with disabilities," said Sanders. As chairman of the Senate Subcommittee on Primary Health and Aging, Sanders asked the Social Security Administration's Office of Retirement Policy to calculate the impact on poverty rates and benefits if the revised inflation gauge were to be adopted. 

In 2030, according to the report prepared for Sanders, there would be 173,400 more people living in poverty in the United States. The revised formula also would dramatically lower benefits for retirees. Widows would receive almost $70 a month less in benefits, a reduction of $840 a year. People who are 70-79 would receive $49 a month less, a drop of $588 a year. Benefits for those who are 80-89 would drop by $80/month or $960 a year. Benefits for women would fall by 3.5 percent overall while men's benefits would drop by 2.9 percent.

By 2050, the impact would be much worse. There would be 245,000 more people living in poverty at mid-century. Widows' benefits would be $1,200 a year less. Those 70-79 would lose $720 a year, and seniors in the 80-89 age bracket would see benefits fall by $1,200 a year. Overall, women would see a 4 percent reduction in benefits while benefits for men would drop 3.4 percent.

As the deficit negotiations were set to resume on Sunday, Sanders emphasized that Social Security has not contributed a dime to the deficit or the national debt. Funded by the payroll tax on workers and employers, Socials Security has a $2.6 trillion surplus and will be able to provide full benefits for every eligible American for the next 25 years.

- Advertisement -

Sanders called on President Barack Obama to publicly renounce the idea of cutting Social Security as part of any deal to lower deficits. "I am especially disturbed that the president is considering cuts in Social Security after he campaigned against cuts in 2008," Sanders said. "The American people expect the president to keep his word."
- Advertisement -


Bernie Sanders is the independent U.S. Senator from Vermont. He is the longest serving independent member of Congress in American history. He is a member of the Senate's Budget, Veterans, Environment, Energy, and H.E.L.P. (Health, Education, (more...)

Share on Google Plus Submit to Twitter Add this Page to Facebook! Share on LinkedIn Pin It! Add this Page to Fark! Submit to Reddit Submit to Stumble Upon

Go To Commenting

The views expressed in this article are the sole responsibility of the author and do not necessarily reflect those of this website or its editors.

Follow Me on Twitter

Contact Author Contact Editor View Authors' Articles
Related Topic(s): , Add Tags
- Advertisement -

Most Popular Articles by this Author:     (View All Most Popular Articles by this Author)

Vermont Senate Votes to Overturn Citizens United

Saving American Democracy

Why Do Republicans Hate Social Security?

Bernie Sanders Introduces Single Payer Bill: American Health Security Act of 2013

Wall Street's Secret Oil Games

Health Care is a Right, Not a Privilege


The time limit for entering new comments on this article has expired.

This limit can be removed. Our paid membership program is designed to give you many benefits, such as removing this time limit. To learn more, please click here.

Comments: Expand   Shrink   Hide  
6 people are discussing this page, with 6 comments
To view all comments:
Expand Comments
(Or you can set your preferences to show all comments, always)

Mr. Sanders,  We know that you are Independen... by Joan Boudreaux on Saturday, Jul 9, 2011 at 6:18:46 PM
the military/corporate/terror industrial complexes... by 911TRUTH on Sunday, Jul 10, 2011 at 11:31:10 AM
The examples the administrsation offers for the ch... by Miriam Callaghan on Sunday, Jul 10, 2011 at 11:16:32 AM
Social Security and getting services for our tax d... by Steven G. Erickson on Sunday, Jul 10, 2011 at 11:49:58 AM
CONTRIBUTIONS, withholding taxes, by taxing labor.... by bogi666 on Monday, Jul 11, 2011 at 6:52:47 AM
...has not a single thing to do with the debt! &nb... by Dennis Kaiser on Sunday, Jul 10, 2011 at 1:25:39 PM