Out on the campaign trail, Democratic presidential hopeful Senator Hillary Clinton has promised to save Social Security. There’s a novel idea for you! Has there ever been a Democrat running for president who hasn’t promised to “fix” Social Security?
What makes Hillary’s plan truly novel though is she promises not to cut benefits, raise the retirement age, or to privatize Social Security. Rejecting all three of those solutions, the only course left is a massive tax hike – the standard Democratic solution to every problem.
If you believe today you only pay 7.65% in Social Security and Medicare taxes combined and your employer matches your contribution, consequently, a Hillary tax increase wouldn’t be too bad, think again. Your employer doesn’t pay anything towards your Social Security taxes. Having your employer deduct half of your Social Security taxes before you even see your paycheck is a government sleight of hand to hide how much we really pay. Uncle Sam figures if workers really knew how much Social Security cost them, they’d be outraged.
Don’t believe you alone pay the whole 15.3% Social Security tax and Medicare? Then explain why the Social Security and Medicare tax on the self-employed is 15.3%.