Bernie Sanders just proposed a law to save millennials' retirements

Bernie Sanders just proposed a law to save millennials' retirements
Sen. Bernie Sander (I-VT) speaks at a news conference on the Social Security system Feb. 16.
Source: Win McNamee/Getty Images
Sen. Bernie Sander (I-VT) speaks at a news conference on the Social Security system Feb. 16.
Source: Win McNamee/Getty Images

President Donald Trump’s new budget chief thinks Social Security is a scam. But some progressive members of Congress aren’t giving up the fight to save it.

On Friday, Sen. Bernie Sanders (I-Vt.) and Rep. Peter DeFazio (D-Ore.) introduced a bill to make Social Security solvent for generations while also expanding benefits.

The bill would lift the payroll tax cap on highest earners and extend the life of the program through 2078. Currently, Social Security is funded through a 6.2% payroll tax that only applies to the first $127,200 a person earns in a year. The Sanders plan is similar to one he proposed during his presidential campaign and would lift the cap on all income above $250,000.

Sanders proposed his legislation on Thursday because it was Social Security Day of Action. That's the day of the year — not even two months in — that millionaires stop contributing money from their paychecks into Social Security because of the $127,200 cap.

Trump vowed on the campaign trail not to make any cuts to Social Security, but members of his cabinet may have other plans. Mick Mulvaney, Trump's recently confirmed head of the Office of Management and Budget, refused to walk back his position that Social Security a "Ponzi scheme," during his confirmation hearings.

Source: YouTube

"I wouldn't read too much into the description of it as a Ponzi scheme," he told senators during his confirmation hearing. "It’s simply describing to people how the cash flows." When pressed by Sanders about whether he would try and keep Trump's promise not to cut benefits, Mulvaney suggested raising the retirement age — which would cut years of Social Security benefits for retirees.

In addition to lifting the payroll tax cap for top earners, the Sanders-DeFazio plan also expands benefits to retirees by changing metrics used to calculate benefits, including the cost of living adjustment.

How much do you trust the information in this article?

Andrew Joyce

I cover politics and policy.

MORE FROM

Sean Spicer said he resigned to avoid having “too many cooks in the kitchen”

Sean Spicer said he wanted to give new communications director Anthony Scaramucci a "clean slate."

Report: Jeff Sessions talked about matters related to the Trump campaign with Russian ambassador

Intercepted conversations suggest Sessions may have spoken about campaign-related issues, despite denying that was the case.

Obamacare repeal bill dealt yet another possibly fatal blow by Senate parliamentarian

Republicans will need to find 60 votes in support of their Obamacare repeal bill, or else strip it of abortion restrictions and a provision that defunds Planned Parenthood.

Don’t cry for Sean Spicer. He knew what he was doing when he took a job working for Donald Trump.

At the end of the day, the former press secretary took a job telling lies in support of a terrible president. Next, he'll probably take a more lucrative one and continue to defend him.

Sarah Huckabee Sanders named White House press secretary after Sean Spicer’s resignation

The shakeup in the White House press shop comes just six months and a day since Donald Trump was sworn in.

3 things to know about Anthony Scaramucci, the new White House communications director

Scaramucci is a former hedge fund manager who was named Yahoo Finance's 2016 "Wall Streeter of the Year."

Sean Spicer said he resigned to avoid having “too many cooks in the kitchen”

Sean Spicer said he wanted to give new communications director Anthony Scaramucci a "clean slate."

Report: Jeff Sessions talked about matters related to the Trump campaign with Russian ambassador

Intercepted conversations suggest Sessions may have spoken about campaign-related issues, despite denying that was the case.

Obamacare repeal bill dealt yet another possibly fatal blow by Senate parliamentarian

Republicans will need to find 60 votes in support of their Obamacare repeal bill, or else strip it of abortion restrictions and a provision that defunds Planned Parenthood.

Don’t cry for Sean Spicer. He knew what he was doing when he took a job working for Donald Trump.

At the end of the day, the former press secretary took a job telling lies in support of a terrible president. Next, he'll probably take a more lucrative one and continue to defend him.

Sarah Huckabee Sanders named White House press secretary after Sean Spicer’s resignation

The shakeup in the White House press shop comes just six months and a day since Donald Trump was sworn in.

3 things to know about Anthony Scaramucci, the new White House communications director

Scaramucci is a former hedge fund manager who was named Yahoo Finance's 2016 "Wall Streeter of the Year."