Like our John Hancock story last issue, news of Social Security pushing back retirement age has stirred more than a few comments.
This would go a long way to improve the solvency of Social Security, promote greater savings, more involvement in personal and employment related retirement programs, and it would incent account value build-up in life and annuities (i.e., higher earners should pay more taxes on Social Security income). Next, tackle the real fiscal problem of extended care: get rid of the loopholes for middle- and upper-income earners to drink at the trough of public (taxpayer) payment of extended care costs without any affect on assets going to next generations. We need to promote personal responsibility for this care (read: purchase insurance or partnership coverage) so that the taxpayers (including their heirs) aren't saddled with deficits way beyond what we're complaining about today! Deficit reduction needn't destroy all sense of personal responsibility; in fact, it should promote it.