Would rolling back the Bush tax cuts fix Social Security?
No. Repealing the Bush tax cuts would do nothing to address Social Security’s costs, which are set to explode in coming years. The Bush tax cuts spurred job creation, which increased payroll tax revenues, thereby delaying the date that Social Security’s cash flow goes negative and the Trust Fund runs dry. They actually improved Social Security’s long-term balance sheet. Repeal would make things worse. Does reform mean lower benefits? No. A reform plan that creates personal retirement accounts could actually pay more in benefits than today’s Social Security. Under the current system, benefits are not guaranteed and, according to the program’s trustees, will be cut by 27 percent in 2041, when the Trust Fund runs dry. That’s what happens under current law if we do nothing. There are two parts to Social Security reform. First, reform should bring benefits in line with what the system can afford to pay. Second, personal retirement accounts would allow younger workers to enjoy benefits in re
