Social Security & Tax Cuts
U.S. Senator Elizabeth Warren (D–MA) claims that “Donald Trump and Elon Musk” are planning to use “the money you paid into Social Security to fund tax cuts for billionaires.”
IN FACT, Warren’s allegation is false on 6 levels:
1) Trump has repeatedly promised not to cut SS benefits, and he never attempted to do so during his first term.
2) Trump and Musk are ensuring that more SS funds get to legitimate beneficiaries by reducing the $8.7 billion that SS loses each year to administrative costs and fraud/improper payments. That’s enough to pay 398,000 retired workers their old-age benefits.
3) Accusations by Warren and Schumer that DOGE is ending telephone services are patently false and distortions of the fact that DOGE is “eliminating the risk of fraud associated with changing bank account information by telephone” because 40% of SS “direct deposit fraud is associated with someone calling SSA to change direct deposit bank information.”
4) SS taxes cannot be used “for any purpose not related to the payment” of SS “benefits or administrative costs,” and contrary to a popular myth, the SS Trust Fund has never been looted.
5) Despite multiplicative tax increases on succeeding generations of Americans, SS is due to become insolvent in 2035 because it operates like a Ponzi Scheme.
6) Trump’s “tax cuts” apply to all taxpayers and are actually “tax evens” that correct for bracket creep, which consumes an ever-growing share of people’s incomes over time.
