In my opinion, we should not use general federal revenues to "shore up" the current pay-as-you-go, wealth transfer Social Security system. Doing so is throwing good money after bad. Generational wealth transfer systems are inherently inequitable in their redistribution of income.
Instead, current general federal revenues should be used to pay current, means tested benefits to current retirees in order that we may use current payroll taxes to transition to a fully funded, wealth-creation retirement system composed of mandatory private investment accounts. In other words, all taxpayers - on a progressive general tax basis - should bite the bullet and do their part to provide a floor of protection to those elderly who are in need.
This formula will mean that affluent current retirees will not receive all they have been promised. It will also mean that better-off current workers will pay higher general federal taxes. The current consumption of both groups will be reduced in order that we can leave a better nation for our children and grandchildren.
For too long we have been leaving to our children a legacy of debt instead of an endowment of assets on which to build. For too long, we have been paying homage to our past at the expense of our future.
