In May the government said that the Social Security Trust Fund will be exhausted in 2037, four years earlier than was predicted a year ago. One of the problems for Social Security is the expotential growth of executive pay, most of which exceeds the limit on income that is subject to the payroll tax, now set at $106,800.
Since 1982 the portion of the wages subject to Social Security taxes has shrunk from 90 to 83 percent, and this figure doesn't even include other executive compensation such as stock options. If the earnings ceiling were lifted, the trust fund would be solvent for the next 75years. (Source: Wall Street Journal, July 21).
All the recent talk about socialism, it would seem that the only evidence for it is in the highest income brackets.
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