| How Much Do Americans Spend on Social Security?
Kotlikoff, Laurence J.; Marx, Ben; Rizza, Pietro
National Center for Policy Analysis, Policy Report No. 301, August 2007, online edition,
"Social Security benefits over the next 75 years will exceed
payroll tax revenues by $4.6 trillion. To close this enormous fiscal
gap, one proposal is to cut the benefits of high-income workers.
Many low-income workers depend almost entirely on Social Security
for their retirement income, but it is often assumed that high-wage
workers can maintain their standard of living without Social Security
benefits due to their private pensions and savings. Surprisingly,
however, even high-wage workers depend on Social Security for a
substantial portion of their retirement income and would significantly
change their consumption and saving behavior in the absence of Social
Security." Laurence J. Kotlikoff is affiliated with the
National Center for Policy Analysis at Boston University and the
National Bureau of Economic Research. Ben Marx is Research Assistant,
Boston University, and Pietro Rizza is a Doctoral Candidate, Boston
University.
Go to the
report:
http://www.ncpa.org/pub/st/st301/st301.pdf
C25/05-07. Posted August 28, 07
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