Under its extended-baseline scenario, CBO estimates that over the next 75 years, the program has an actuarial shortfall equal to 1.6 percent of taxable payroll, or
0.6 percent of GDP (see Table 4-1). Thus, to bring the program into actuarial balance through 2085, payroll taxes could be increased immediately by 1.6 percent of taxable payroll and kept at that higher rate, or scheduled benefits could be reduced by an equivalent amount.
The fix is easy (not taking into account the Republican party's irrational view on tax increases). Repeal the tax cut. And not increasing taxes leaves a small actuarial imbalance.
Under its extended-baseline scenario, CBO estimates that over the next 75 years, the program has an actuarial shortfall equal to 1.6 percent of taxable payroll, or 0.6 percent of GDP (see Table 4-1). Thus, to bring the program into actuarial balance through 2085, payroll taxes could be increased immediately by 1.6 percent of taxable payroll and kept at that higher rate, or scheduled benefits could be reduced by an equivalent amount.
The fix is easy (not taking into account the Republican party's irrational view on tax increases). Repeal the tax cut. And not increasing taxes leaves a small actuarial imbalance.