Former President Trump called for eliminating the tax that many seniors pay on Social Security benefits.
“SENIOR CITIZENS SHOULD NOT PAY TAXES ON SOCIAL SECURITY!” President Trump announced (in all caps) via his Truth Social account on Wednesday morning.
Currently, if you’re single and your total income (Social Security income plus outside work) exceeds $25,000, you may have to pay the standard income tax rate on up to $12,500 of your annual Social Security income. If you’re single and your total income exceeds $34,000, you may have to pay the standard income tax rate of up to 85 percent of that $34,000.
For joint income, the thresholds are slightly higher at $32,000 and $44,000.
Eliminating the Social Security tax is not only a good idea, but also a smart strategy for Trump to reach older voters.
As my colleague Matt Boyle recently pointed out:
Another thing to watch as more polls become available is whether Trump’s support among older voters increases. Against Biden, Trump performed particularly poorly with this traditionally Republican demographic in this election. But against Harris, a much more radical Democrat than Biden, this demographic could easily flip. And if other demographic shifts previously seen between Trump and Biden hold, and Trump benefits from younger voters, Hispanic voters, and black voters as he did before, Harris’ campaign may hit rock bottom sooner than later.
Seeing the senior vote go to Biden wasn’t as counterintuitive as it might seem. Biden was being attacked for being old, which seniors may have resented. Also, high interest rates are a boon for retirees, most of whom already live in their homes and count on a steady retirement income that would benefit from high interest rates.
Two things could sway seniors to Trump: 1) a coup against an elderly Biden, and 2) an end to the stupid taxation of Social Security.
Why would the government send you a check and then tax it? It’s like taxing lottery winnings. It makes no sense.
Furthermore, the income thresholds above are not tied to inflation, so if you live in a repressive Biden/Harris economy where cumulative inflation hovers around 20%, your Social Security benefits will be less generous, but your tax thresholds will remain the same.
Most seniors who receive Social Security have paid taxes their entire lives. And there’s this not-so-small fact…
All the time you’re working, the government takes your money through Social Security taxes and uses it, but doesn’t pay you interest.
This is money that could have been invested over 40 years, and even at a modest interest rate of 5% per year, it means you would have doubled your investment return or more. You have lost your investment income because the government confiscated your money.
Not taxing the elderly seems fair. This is not an unheard of idea. Before 1984, Social Security It wasn’t be taxed.
However, after the law was changed in 1984, the median income in the United States was $24,850, only Social Security tax was levied on individuals earning more than $25,000, and for joint filers, the threshold was $32,000.
that’s why, On top of that Middle-income earners paid Social Security taxes.
Currently, the average income is $But the tax threshold remains roughly the same as it was 40 years ago, so instead of Social Security taxes being levied on people earning above the median income, they are levied on people making less than half of today’s median income.
That’s strange.
John Nolte’s first and last novel Borrowed time, Winning 5-Star Rave Reviews Submissions from our everyday readers. You can read excerpts here here And a detailed review here. Also available in hard cover and Kindle and Audiobooks.
