Shaw plan worse than the status quo
- As much as I favor Social Security reform, it has to advance us
toward the market, not further away.
Unfortunately, U.S. Rep. Clay Shaw is actively opposing the
president's idea of funneling some of the existing payroll taxes
into personal accounts owned and inheritable by participants.
Instead, he wishes to graft personal accounts to the Social Security
system as an "add-on," not a "carve out." It is an expansion of the
program and an increase in the amount of our nation's resources
coercively directed into the Social Security program.
Here's Cato Institute notes on the Shaw plan:
Shaw, Social Security Guarantee Plus Act of 2003 (HR 75)
Account Size: 4 percent of taxable earnings up to $1,000.
However, not really 'carve-out.' Accounts financed out of General
Revenues through tax credit.
Retirement annuity based on combination of accounts and traditional
Social Security. Guarantees promised level of benefits.
Inheritable only prior to retirement. No true ownership.
For a Cato Institute Powerpoint presentation that compares all the
major plans circulating in Washington, see:
-- Philip Blumel
- If you are sending this e-mail to William Skinner, please notethe new address at BillSkinnerLW@....The MDTAXES@... e-mail address will soon be dormant.The e-mail address of the Maryland Taxpayers Association isBill Skinner
William J. Skinner
7721 Royale River Lane
Lake Worth, FL 33467