Sam Johnson – a proven leader on Social Security
Throughout his military and legislative career, U.S. Congressman Sam Johnson (3rd Dist-Texas) has been characterized as fearless. His bold and common-sense solutions for Social Security reform follow that trend.
One of only four Members of the U.S. House with the courage to introduce his own personal retirement accounts proposal on this hot-button issue, Johnson’s bill garnered the most co-sponsors of any Social Security reform initiative in the last Congress and again this Congress.
Modeled after the CATO Institute’s 6.2% Solution, Johnson introduced the Individual Social Security Investment Program Act of 2005, H.R. 530. Johnson’s bill represents an-easy-to-understand approach while giving Americans control and choice over their Social Security.
Johnson’s bill splits the 12.4% of one’s payroll tax and says – let’s share – half to the government, half to you. Under Johnson’s bill, you would keep 6.2 percent to invest in a personal retirement account – and take advantage of the miracle of compound interest. You would have a sizeable retirement fund and a real asset to pass on to loved ones.
The government receives 6.2 percent to meet its obligations to those over 55 and to the disabled, widows, and orphans. The most differentiating aspect of Johnson’s bill is that youalsowould get back the benefits you’ve already earned in a tradable bond.
The Social Security Actuary recently evaluated Johnson’s approach as the most affordable way to reform Social Security. His proposal would eventually generate a positive trust fund balance of $1.8 trillion and keep Social Security in the black forever.
Recently Newsweek magazine noted Johnson’s clever way to engage constituents. At a meeting discussing outreach, “Sam Johnson told how he tries to persuade seniors in his Texas district to support (personal) accounts by asking them to send in pictures of their grandchildren. The message: do it for the kids.”
This new legislation builds on Johnson’s legacy of reform on this tough issue. Critics howled in 2000 when Johnson authored the bill that ended an unfair reduction in benefits on seniors’ Social Security just because they opted to remain in the workforce. The President signed Johnson’s bill into law later that year.
In addition, Johnson just re-introduced his proposal to eliminate the 1993 “Clinton” tax on Social Security benefits. Johnson’s bill would reduce the amount of benefits subject to the tax from 85% to 50%.
Johnson sits on the Social Security Subcommittee on the Ways and Means Committee – which has jurisdiction on this issue. Johnson represents parts of Dallas and Collin counties. Throughout various district meetings, school visits, and Social Security forums, the message from constituents of all ages is clear – reform Social Security with personal retirement accounts.