July 24, 2013 12:41 PM
Over at the Jefferson Policy Journal, James Agresti spells out the consequences of raising the payroll taxes. The article has a number of strengths.
First, it spells out very well that the employee is the ultimate source of payroll taxes. This clarity is necesary because proponents of increasing taxes pretend that raising the employers share of payroll taxes will have no impact on the employee.
Second, it puts the cost of solvency into terms of the average worker. He projects that raising payroll taxes to make Social Security solvent will cost the average worker $73,000.
Finally, he points out that these taxes may not save Social Security because the projections may prove overly optimistic.
James D. Agresti is the president of Just Facts, a nonprofit institute dedicated to researching and publishing verifiable facts about public policy. He holds a Bachelor of Science in Mechanical Engineering from Brown University and has worked as a designer of jet aircraft engines, a technical sales professional, and chief engineer of a firm that customizes helicopters.