The Tax Cuts and Jobs Act has unleashed historic economic growth for millions of Americans. Now is the time for Congress to act to consolidate these economic gains by securing retirement benefits for current and future retirees.
According to a recent study from the Federal Reserve Board, only 36% of Americans believe they are on the right path for retirement. At the same time, Social Security faces long-term funding shortfalls. In 2034, the program’s reserves are projected to be depleted.
With few saving and Social Security’s pessimistic future, far too many Americans view retirement security as nothing but a pipe dream.
Meanwhile, some politicans argue higher taxes are the answer. The Ways and Means Committee recently held a hearing on a Social Security proposal from Rep. John Larson, D-Conn., that hurts small businesses and workers through a 19% payroll tax increase.
As a member of the Ways and Means Subcommittee on Social Security, I believe we should reward work instead of taxing it, relieve budgetary pressures on the program by setting priorities and making hard choices — which is what real American families and businesses do — and use the billions of dollars that Washington wastes to help secure retirement for America’s seniors and near-retirees.
Congress must do everything we can to encourage Americans to save for retirement with their own dollars. Currently, more than 80 million Americans are already participating in a retirement plan where they work. However, nearly 5 million employers do not provide a plan to workers, leaving more than 28 million full-time employees and 15 million part-time employees without access to a retirement plan at their job.