An overwhelming bipartisan majority of Americans oppose Social Security and Medicare cuts to reduce the deficit, according to a new AARP survey released today.
Some 85% of Americans age 50 ur more oppose cutting Social Security and Medicare. Both Republicans (88%) and Democrats (87%) oppose cutting Social Security benefits. Similarly, Republicans (86%) and Democrats (87%) also disagree with Medicare cuts, the survey said.
The survey comes as AARP increases its lobbying campaign against the TRUST Act, introduced by Sen. Mitt Romney (R-UT) to create a 12-member committee to find ways to tackle Social Security and Medicare trust fund deficits.
“Older Americans overwhelmingly oppose cutting Social Security and Medicare to reduce the deficit,” said Nancy LeaMond, AARP executive vice president and chief advocacy and engagement officer.
The survey findings are more fodder for AARP’s grassroots and white-shoe lobbying campaigns seeking to derail the TRUST Act, which the trade group fears could fast-track cuts to benefits.
The bill’s veneer of fiscal sobriety has attracted considerable Republican support and some Democratic co-sponsors who voted for the TRUST Act in February as part of this year’s budget resolution.
The state of both funds’ solvency is dire, according to the latest projections. Without action from Congress, the Social Security trust fund is expected to become depleted in 2035, though the fund would be able to pay about 80% of promised benefits. The Medicare trust fund is projected to run dry in 2026, though still able to pay 90% of benefits.
A different bill to shore up Social Security introduced by Rep. John Larson last year may be more appealing to the AARP and its members, although not to the wealthy who would be on the hook for funding. Larson’s Social Security 2100 Act would extend the life of both trusts by asking the wealthy to begin contributing more to Social Security payroll taxes.
Under Larson’s bill, millionaires and billionaires would pay the same tax rate as everyone else. Currently, payroll taxes are not collected on wages over $132,000. This bill would apply the payroll tax to wages above $400,000, impacting the top 0.4% of wage earners.
Larson’s bill would gradually phase in the payroll tax increase of an additional 50 cents per week beginning this year so that by 2043 both workers and employers would pay 7.4% instead of 6.2% today.