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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Amy J who wrote (212775)	12/6/2004 2:39:35 PM
From: Tenchusatsu	Respond to of 1573599

Amy, Never understood the logic as to why my FICA tax stopped once it had reached a certain max limit. As far as I'm concerned, it's perfectly acceptable to remove the FICA cap. Deductions are capped at $87K because benefits are capped at $87K. Removing the cap on deductions while keeping the cap on benefits means people making $87K and above would be paying for benefits that they'll never see. Having said that, I still support removing the deduction cap. Tenchusatsu

To: Amy J who wrote (212775)	12/6/2004 2:55:34 PM
From: Road Walker	Respond to of 1573599

Amy, re: I think it's an excellent compromise. I agree. It's much more modest than my proposal. re: Never understood the logic as to why my FICA tax stopped once it had reached a certain max limit. As far as I'm concerned, it's perfectly acceptable to remove the FICA cap. It'll negatively impact me, but I always thought it was very unfair to tax the poor person a FICA tax throughout his or her entire year, while people like me get taxed for only a portion of the year. Originally SS was sold as being fair to both rich and poor, and was structured that way. People with large contributions draw over double the benefits of those with lower contributions. It wasn't really a benefit, it was a government sponsored insurance policy. Unfortunately, it's become a hybrid, and that's why the conservatives bristle over the funding liability 40 years out. And why recipients bristle at the benefits being cut... they were promised insurance, not a discretionary welfare benefit. The cap was designed so that the rich didn't get soaked wrt payin/benefit. But if we're going to "fix" SS, we need to make it work in a very tough fiscal situation. John