Sen. Bill Cassidy (R-Louisiana) criticized both President Biden and former President Trump on Thursday, accusing them both of having no real plan to save Social Security.
Earlier this week, President Trump said “there’s a lot that can be done in terms of cutting entitlements” on Social Security and Medicare. The comment came under fire from Biden, who vowed during the campaign that he would “never allow that to happen.”
In response to the dispute, FOX Business’ Stuart Barney asked Cassidy for his thoughts on the current state of Social Security. Bernie noted that if nothing is done, the entirety of the Social Security Trust Fund is expected to be depleted.
“First, Joe Biden’s plan has no chance of passing politically and would result in a 24% cut in Social Security, period. That’s under current law,” Cassidy said. Ta. “And frankly, President Trump has no real plan either.”
Congressional Budget Office projections estimate that Social Security benefits will be: at least 20% reduction If no changes were made to the program. Recent projections indicate that the Social Security Trust Fund will be depleted at some point in his 2030s.
Cassidy shared his own proposed plan to save on Social Security, modeled after how other countries preserve their retirement savings. His senatorial plan includes creating an investment fund separate from the Social Security Trust Fund.
“We’re going to set up a fund separate from the Social Security Trust Fund, put $1.5 trillion into it, invest it in the stock market like 401(k)s, and let it grow over time. That’s Canada. It’s the same thing as pension funds,” Cassidy told Varney. “Every national fund in the world is doing that, except for social. If we do this for social, we can actually bail out social and make our programs better.”
“[Beneficiaries] “They’re part of a group, and individuals are going to get rid of that 24 percent benefit cut. Now, Joe Biden and Donald Trump are frankly saying that their plan won’t pass politically.” They’re trying to force it on the American people because there’s no chance of it being done,” Cassidy added.
Barney asked Cassidy what would happen if the stock market went down under his proposed plan. Mr. Cassidy argued that since 1929, the average return on investments in the economy has been 8.5%, adding: “When the economy is in a downturn, you have bigger problems than Social Security.”
Earlier this month, Cassidy explained what he called his “big idea”: letter In the Wall Street Journal.
“This is not a radical idea. As Keeley and Puzder point out, the system is already used in the federal government’s Thrift Savings Plan, the Wisconsin Retirement System, the National Railway Retirement Trust and the Canada Pension Plan, among others. ” Cassidy wrote. “While other countries use the U.S. stock market for retirement savings and sovereign wealth funds, the United States does not.
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