This Big Social Security Change Proposed by President-Elect Donald Trump, and the Harsh Truth That Makes It Unlikely

In 1984, the federal government began taxing Social Security benefits for individuals whose income exceeded a certain threshold. Congress approved the change in the previous year as part of a sweeping overhaul meant to protect the Social Security trust fund from insolvency.Initially, the impact was limited. Less than 10% of beneficiaries actually owed tax on their benefit when the law took effect. However, that figure has climbed steadily higher over the years because Congress neglected to account for inflation, such that more than 50% of beneficiaries now owe tax on their Social Security checks.While campaigning, Republican presidential nominee Donald Trump suggested eliminating that tax. "Seniors should not pay tax on Social Security," he declared on his social media platform in July. Trump repeated the proposal during a subsequent interview. Now that he's been elected to a second term as president, millions of retirees are hoping he can follow through.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool