It is no secret that the nation’s Social Security program faces an unknown future. Its retirement trust fund is projected to run out of money less than a decade from now.
So, how should America fix its Social Security dilemma? Recently, more than 2,200 Americans ages 21 or older participated in a survey conducted by the National Academy of Social Insurance, AARP, the National Institute on Retirement Security and the U.S. Chamber of Commerce.
These Americans were asked about potential changes to the Social Security system that might address its long-term financing gap.
Based on the survey respondents’ feedback, these are the two potential changes that get the strongest support across all political and demographic groups — and the one that elicited the strongest aversion.
Collect payroll taxes on incomes over $400,000
The proposed policy option: “Keep current taxable earnings cap and collect Social Security contributions on earnings above $400K.”
How survey respondents felt about it: Strong preference
What it would mean: As Social Security struggles to meet future obligations, Americans would like to see payroll taxes raised on high earners.
The maximum amount of a worker’s income subject to Social Security payroll taxes is $176,100 for 2025. But survey respondents would like to see those who earn more than $400,000 pay more into the system.
Increase the payroll tax rate
The proposed policy option: “Increase tax rate from 6.2 percent to 7.2 percent for both employees and employers.”
How survey respondents felt about it: Strong preference
What it would mean: While many Americans would like to see payroll taxes raised on the rich, they also are willing to sacrifice some of their own income to help shore up Social Security.
Currently, the payroll tax is 12.4%. This cost is split between workers and their employers. (Those who are self-employed must pay the entire 12.4% themselves.) Survey respondents say they prefer to see the payroll tax gradually raised to 14.4% if it will solidify the future of Social Security.
Raise the full retirement age
The proposed policy option: “Gradually raise the full retirement age from 67 to 69.”
How survey respondents felt about it: Strong aversion
What it would mean: At one time, 65 was the full retirement age for Social Security. That age has been gradually increased to 67 in an attempt to improve the program’s finances.
Some politicians and pundits have suggested raising the full retirement age again, but survey respondents strongly disapproved of such a fix.
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