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Social Security
Social Security is a $400 billion program that directly impacts nearly every American each month, through either payroll taxes paid by workers or for retirement or disability benefit checks. Social Security provides essential income security for over 45 million Americans of all ages. Without it, many people would live in poverty.
As a member of the Social Security Subcommittee, I will be working on issues that impact this important program. You can also access more information through the Subcommittee's Social Security Resource Kit.
Social Security's Future
Social Security is currently experiencing positive net revenue because more people are paying into the program than are receiving benefit checks. However, the Social Security and Medicare Board of Trustees warn that in the year 2017 the Trust Fund will begin paying out more benefits than it collects and cash flow deficits will begin. The Trust Fund can use present IOUs to fund the program through 2041, however at that point the program will be completely exhausted. At this point the system will only be able to pay 74% of promised Social Security benefits.
Upcoming demographic changes facing our country are the cause of these projections. Increasing life expectancies and declining birth rates mean that the number of workers will decrease as retirees increase. In 1945 there were over 16 workers for every retiree; today there are three workers, and within a generation there will only be 2 retirees for every worker.
At this point we have two options:
- First, we could do nothing. Without reform we would need to drastically cut benefits, increase taxes, increase our debt, or cut other government programs. This is unacceptable to me.
- Second, we could reform the system. Republicans and Democrats need to put politics aside and do what is best for today's seniors and tomorrow's retirees. We need to consider every option. We need to restore the public's confidence in this important program. I believe this can be accomplished.
Doing nothing will only saddle our children and grandchildren with an even larger problem. Each year we delay action, the program’s debt rises by $600 billion. Through President Bush’s leadership, I am hopeful that we can restore solvency to the program and ensure that this guarantee is there for future generations.
My Plan to fix Social Security
At the beginning of the 110th Congress I introduced H.R. 1090, the Social Security Guarantee Plus Act of 2007. This legislation preserves Social Security and pays full promised benefits to future retirees without raising payroll taxes or further depleting the Trust Fund. H.R. 1090 does not raise the retirement age, preserves and guarantees survivor and disability benefits, and increases widow’s benefits. My plan allows American workers to receive a refundable income tax credit each year to invest in a tax-free retirement account. The Guarantee Plus plan lets individual workers who chose to participate, not the government, control how their assets are invested.
Congressman Lewis accepting an award from the 60 Plus Association in Owensboro
Protecting your Social Security Number
I am a proud cosponsor of H.R. 3046, the Social Security Number Privacy and Identity Theft Prevention Act of 2007. This bill would restrict the use of Social Security Numbers by the government and business. Restricting the use of Social Security numbers will reduce the crime of identity theft.
Learn more about this bill, H.R. 3046
Government Pension Offset / WEP
Retired federal employees have also expressed their concerns regarding the Government Pension Offset and Windfall Elimination Provision. These issues also come before our subcommittee, and I am a cosponsor of legislation to reform these measures that are unfair to government retirees.
Learn more about this bill, H.R. 82
