President Bush Stopped Paying His Social Security Taxes Today

[Cleita]

Just a little interesting note I picked up on the Friday Alert from the Alliance for Retired Americans. "Today" was actually yesterday.

President Bush Stopped Paying His Social Security Taxes Today

The Social Security payroll tax is 12.4 percent of wages-paid equally by the employer and the employee (6.2 percent each). The federal government currently imposes a $90,000 "cap" on taxable salary under Social Security. So President Bush-whose annual salary is $400,000-will stop paying all his Social Security taxes on March 24, while American workers earning less than $90,000 will pay Social Security taxes all year long. Wage earners at the very top of the economic ladder pay less Social Security taxes, as a portion of their income, than workers at the bottom of the economic ladder. No other payroll tax allows workers to stop paying taxes altogether once they hit a certain earnings level. Medicare payroll taxes, for example (also part of the FICA tax) continue unabated regardless of income and without increased benefits. Find out when other Americans stop paying their taxes and calculate your own salary on our website at http://www.retiredamericans.org/sscalc .

[Pacifist Patriot]

1. I have been saying for years that the "cap" should be MUCH higher.

Or non-existant. The years my husband busted his ass working over time, on-call and travel hours he has maxed the cap in December. We would never notice the difference if the last few paychecks of the year were the same as all the others. We'll happily pay it up to any dollar figure.

[Cleita]

2. I always thought maybe the first $5, 000 should be deducted

first before SS kicks in. This would give minimum wage workers a break, but definitely nothing should be capped after that. It would solve so many problems and be so much fairer.

[blondeatlast]

4. Effective and fair? What has that got to do with anything?

:eyes:

[blondeatlast]

3. One wonders just what percentage of workers must work all

year and still not reach the cap.

"Greatest" nomination--everyone should know this.

[Cleita]

5. I know I was one of them all my life.

My husband used to reach his cap around September each year. The cap was a lot less back then.

[blondeatlast]

7. I still am; I have a paraprofessional job and I'd have to earn 3 1/2 times

what I do now to reach the cap.

[ProgressiveConn]

6. Bah elected officials should be limited to the median income of the state.

Oh and remove that cap completely. =)

[Cleita]

8. Some have stated that removing the cap would free the employers

from having to make a contribution. If we did this and provided universal health care, something else that would lower expenses for employers who wouldn't have to provide health insurance and whose worker's compensation insurance cost could be lowered, I wonder why corporations aren't on the band wagon promoting this?

[Cleita]

9. In case anyone is interested in anything else other than

Terri Schiavo.

:kick:

[tammywammy]

10. I think we should just get rid of the cap

or at least raise it up considerably.

[Catherine Vincent]

11. A lot of us here don't refer to him as president.

And never will! :-)

[Cleita]

12. I really don't either.

I copied what the association had written down. :-)