Social Security, Medicare and Tax Reform
In his first major speech as secretary, Paulson said the growth in Social Security, Medicare and Medicaid was the "biggest economic issue facing our country." He said, "trying to find a solution was a leading reason that he took the job."
Paulson will likely have no more success in reforming SS than the President did last year.
To reform SS and Medicare means concurrently, reforming the tax code. To do either exposes the FRAUD that has been perpetrated an US employees, for decades. I have written extensively about SS on my debtism.com website. One example: "The Truth About Social Security" debtism.com
As a minimum two things has to occur for SS to be made solvent:
1. AMEND the IRS tax code so that FICA taxes (including those contained within "wages") cannot be a business expense deduction on Corporate Income tax returns OR REPLACE the Corporate Income Tax with an excise tax on business receipts.
Currently approximately 1/3 of the FICA (OASDI-HI) taxes withheld from employee paychecks and reported by corporations to the Social Security Administration is NOT collected by the IRS because of business expensing of wages (THAT CONTAIN THE FICA TAXES). This is the ONLY way current deficits may be replaced with surpluses,
2. AFTER enacting one of the above alternatives (that would produce surpluses instead of deficits),REPEAL the law that requires that SS and Medicare surpluses ONLY be invested in special government bonds. REPLACE with a law that requires the newly created surpluses SHALL be placed in REAL TRUST FUNDS invested in alternatives OTHER than US Government debt.
This is the ONLY way COMPOUNDING, unredeemable US DEBT can be replaced with COMPOUNDING real ASSETS.
Neither of these actions will be taken OR even discussed by politicians UNLESS there is a PUBLIC OUTRAGE to the ongoing FRAUD. There will be no public outrage until the public understands HOW the system really works. And, the public will not understand how the system works UNLESS they are told.
DOING YOUR PART to make SOCIAL SECURITY & MEDICARE - SOLVENT
If you agree with the above, please help spread the word by MASS e-mailing this POST and/or hyper-linking Getting Ready for Hard Times debtism.com to other message boards and to those you think may interested, including your own comments. Request they repeat the process. The urgency for major tax, welfare, and immigration reforms should be elevated to the HIGHEST POLITICAL PRIORITY before the federal government bankrupts the country.
Good luck and thank you,
SargeK
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