One Republican Suggestion For Improving Social Security

Both parties in Congress are having to think outside of the box in order to address the financial problems facing Social Security benefits in the coming years. The Republican approach has focused on employing privatization and individual choice in determining the management of Social Security assets. A Tulsa Social Security Disability attorney can answer questions about proposed changes to Social Security.

One approach that House Republicans are advocating is the Savings Account for Every American (“SAFE”) Act. Under SAFE, 6.2 percent of workers’ wages goes into a SAFE account. Employers continue to pay the same 6.2 percent, but their portion goes into Social Security. After 15 years, employers could send their portion to the SAFE account as well. In other words, after 15 years, a worker could completely opt out of Social Security. Workers could, however, choose to stick with Social Security.

Criticism of the SAFE proposal surrounds the fact that workers would put their benefits at risk, by being able to invest them in the stock market. Given the recent volatility in the markets, critics fear that people might lose substantial portions of their savings in the SAFE accounts. Details about Social Security programs, including disability benefits, are available from a Tulsa Social Security Disability lawyer.


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