Reform Critics Resort to Scare Tactics Rather Than Debate Merits of Reform
WASHINGTON (November 29, 2001) – Contrary to accusations made today by opponents of the president's Social Security reform commission, disabled Americans have nothing to fear from Social Security reform, according to experts with the National Center for Policy Analysis (NCPA). "No one is talking about touching the part of Social Security that goes to fund disability benefits," said John Goodman, president of the NCPA. "This is purely another scare tactic generated by a lobby that has nothing to offer but fear."
According to the NCPA, Social Security actually has two separate trust funds, one for retirement and survivors pensions (OASI), and another for disability insurance (DI). The current payroll tax of 15.3 percent (employer and employee combined) funds OASI (10.7 percent), Disability Insurance (1.7 percent) and Medicare (2.9 percent). OASI is the only program currently under consideration for reform.
"Proponents of the 'Do Nothing' plan should be honest about the effect of their plan on all Americans, not just the disabled," added Goodman. "If we follow their advice, by the time today's teenagers retire, all elderly entitlement benefits combined will exceed one-half of workers' incomes."