High-Income Couples Face Social Security Cap

0:00Some of America's richest couples are receiving $100,000 a year in social security benefits. That's a six-figure sum for less than 2% of seniors over age 65. Now a new proposal aims to cap those payments at $100,000 for couples and $50,000 for singles to keep the program, solvent beyond 2032. This small group earned the maximum taxable income of about $184,500 for at least 35 years, and claimed benefits at full retirement age, which is 67 this year. By contrast, the average retired worker gets just $2,071 a month. AARP, which represents folks over 50, strongly opposes the idea. They argue it fails to secure every penny workers earned and might open the door to wider benefit cuts down the line. Capping benefits this way could save up to $190 billion over the next decade. That would cover about 20% of the program's funding shortfall, especially if paired with steps like raising the payroll tax cap.

1:03Experts suggest tying the cap to inflation or wage growth to shield middle and low income retirees from future adjustments. As talks heat up in Washington, balancing fairness and solvency remains the big challenge ahead. This has been Dallas News Today, powered by AI. I'm Corey with The Story.