09-03-2023, 11:48 AM
(09-02-2023, 12:14 PM)NATI BENGALS Wrote: Taxes.
“For 2023, the maximum limit on earnings for withholding of Social Security (old-age, survivors, and disability insurance) tax is $160,200.00. The Social Security tax rate remains at 6.2 percent. The resulting maximum Social Security tax for 2023 is $9,932.40.”
The super wealthy are done paying social security tax after their first paycheck of the year. Everybody knows there is a massive concentration of wealth and earnings at the top. But for some reason the people making all the money get to just stop paying social security tax once they pass a set amount each year.
I may be talking out my ass. But from my understanding that is how it works. If I’m wrong please let me know.
Eliminating that cap sure seems like we wouldn’t be having the social security is going to run out problem.
Education.
From my perspective teaching is a low paying job, kids are shooting up schools, and they are a favorite target for one of the two major political parties in this country. Really doubt we are attracting the talent necessary to educate this country’s youth with the current perception and reality of the profession.
There's a benefit cap that corresponds to the income cap. Eliminating the income cap would mean that you'd have to eliminate the benefit cap as well, otherwise it's just a 6.2% income tax increase.
For example, if you made the the 160k cap every year, you'd get a benefit of X dollars per month upon retirement. As it stands, if you make 320k every year, your benefit is still X.
If you eliminated the cap and made 320k every year, then your benefit would have to be 2X, otherwise, it's just an additional income tax.
Not saying you, but I've found that a lot of people don't understand this....like my MIL.
