Home » The Issues » Social Security » Where does the AARP stand on cutting Social Security?

Where does the AARP stand on cutting Social Security?

June 20, 2011 5:11 pm by: Category: Social Security A+ / A-

The Wall Street Journalreported June 17 that AARP has changed its position to now support Social Security benefit cuts.  AARP denies it has changed positions, but says its basic policy for two decades has been to support a Social Security reform plan that includes new revenues and benefit adjustments. 

When fetering out fact from fiction on AARP's position, here are some key points to remember:

·         AARP plays a very influential role in the fight for a strong Social Security program.In that capacity, it has been a leader in making the case that Social Security does not contribute to the deficit and it should not be considered as part of any deficit-reduction deal.

 

·         AARP’s openness to benefit cuts is at odds with most seniors, including presumably its own membership.In poll after poll, the public – including seniors – in huge numbers say don’t cut Social Security. The public understands that Social Security belongs to them because they contribute to it. It does not belong to politicians in Washington who want to use Social Security as a piggy bank.

 

·         AARP says it wants a “balanced and fair proposal” to strengthen Social Security.That can be achieved by scrapping the Social Security tax cap so that those with wages of more than $106,800 a year pay taxes on all of their wages, just like everyone else. This would bring in more than enough revenue to close Social Security’s long-range funding gap, and it is supported by 2 out of 3 Americans – including majorities of Republicans and tea party supporters. Scrapping the cap will close a glaring tax loophole that benefits wealthier Americans. Strengthening Social Security is a matter of values: Tax cuts and tax loopholes for the rich or full benefits for everyone.

 

·         One of AARP’s top lobbyists reportedly said, “The ship was sailing. I wanted to be at the wheel when that happens.” Like the unfortunate passengers of the Titanic, if AARP is at the wheel supporting benefit cuts. Seniors will end up going down with the ship. Many seniors already can barely make ends meet; Social Security is their only lifeline. With an average retirement benefit of $14,000 a year, most seniors depend on Social Security for at least half of their income and one-third depend on it for at least 90 percent of their income.

 

·         Social Security is too important for the “let’s-make-a-deal” politics of Washington. Gaining access to closed-door discussions is not the way to strengthen Social Security. AARP’s position gives aid and comfort to lawmakers who want to cut Social Security.  It should be clear where groups representing seniors stand – they should be against benefit cuts. Period.

 

·         AARP needs to tell its members: Which side is it on?Is AARP for or against benefits cuts, including raising Social Security’s retirement age. Or is AARP going to use its power and its members’ dues to fight against unpopular and ill-advised cuts?

 

·         AARP says its Social Security position has not changed, but what is it?  Does AARP support:

  • Increasing the retirement age from 67 to 68, or 69 or 70?
  • Making the benefit formula less generous, so middle-class workers receive less?
  • Moving to an inflation measure that will cause benefits to erode? (The Biden deficit reduction group is considering a so-called chained CPIto replace the current formula used to determine the annual COLAs.)
  • Scrapping the Social Security tax cap so that there are no loopholes and millionaires and billionaires have to pay taxes on all their wages just like everyone else?
Where does the AARP stand on cutting Social Security? Reviewed by on . The Wall Street Journalreported June 17 that AARP has changed its position to now support Social Security benefit cuts.  AARP denies it has changed positio The Wall Street Journalreported June 17 that AARP has changed its position to now support Social Security benefit cuts.  AARP denies it has changed positio Rating:
scroll to top