Social Security's 2032 Deadline Is Getting Closer—Now One of Its Biggest House Advocates Is Gone
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Rep. John Larson (D-Conn.)’s loss in Connecticut’s 1st Congressional District Democratic primary could affect the political debate over Social Security as Congress faces a projected 2032 funding shortfall.
Former Hartford Mayor Luke Bronin defeated Larson in the Democratic primary and will face Republican candidate Amy Chai in November. Larson, who has served 14 terms in the House and is a longtime advocate for expanding Social Security benefits, will not be on the November ballot, according to a report published by CNBC on Sunday.
What Larson’s Loss Changes
Larson had pushed the Social Security 2100 Act, which would increase benefits, change how annual cost-of-living adjustments are calculated and raise the minimum benefit for some long-term low earners. The proposal would impose Social Security payroll taxes on earnings above $400,000, effectively expanding the taxable wage base.
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It would also apply the Social Security payroll tax to certain investment income for taxpayers with adjusted gross income above $400,000.
Larson reintroduced the bill in June and said during a July debate that it would be “one of the first bills taken up” by the next Congress. “We will put Social Security in place and pay for it,” Larson said.
His primary loss means that proposal will no longer have Larson as its congressional sponsor in the House if he leaves office.
Bronin Says He Would Protect Social Security
Bronin has said he would continue fighting to protect Social Security, but he also criticized Larson’s record on the issue.
During a July debate, Bronin said Social Security 2100 failed to advance when Democrats controlled the House.
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“To say that it’s going to become law in the first 100 days of the next Congress when Donald Trump is in the White House, I think, is not being honest with voters,” Bronin said, according to the CNBC report.
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Bronin also said he would be “proud to fight to protect Social Security” and argued that younger Americans should become part of the debate. His senior adviser told CNBC that Bronin believes lifting the payroll-tax cap should be part of the solution.
Republican candidate Chai, meanwhile, said she opposes increasing the payroll-tax cap or rate. Her proposals include requiring government employees to participate in Social Security and prioritizing the program’s obligations before foreign aid is released.
Advocates Plan to Continue Larson’s Push
Larson’s departure does not necessarily end efforts to expand Social Security.
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Social Security Works said it plans to continue advocating for the changes Larson proposed.
“We will take the handoff of Congressman Larson’s baton and honor his life’s work by fighting harder than ever to make billionaires pay their fair share so we can protect and expand Social Security for everyone,” Alex Lawson, executive director of Social Security Works, said in a statement, according to the CNBC report.
The group’s response indicates that advocates intend to continue pushing for higher contributions from wealthy Americans and expanded benefits even after Larson’s departure.
See Also: Skip the Regrets: The Essential Retirement Tips Experts Wish Everyone Knew Earlier.
2032 Deadline Keeps Pressure On
The Social Security retirement trust fund is projected to deplete its reserves in the fourth quarter of 2032. If Congress takes no action, incoming payroll-tax revenue would cover about 78% of scheduled benefits, resulting in a roughly 22% reduction rather than eliminating payments altogether.
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A bipartisan group of senators has already proposed the PROMISE Act, which would create a formal process for developing a Social Security plan designed to keep the program solvent for at least 50 years. The proposal would give the bipartisan Social Security Advisory Board a role in developing recommendations after public input.
The choices facing lawmakers also carry different economic and generational costs. A Penn Wharton Budget Model analysis of five potential fixes found that a proposal relying more heavily on benefit reductions could produce stronger long-term gains in GDP, wages and private investment, while a tax-heavy approach could keep the trust fund solvent longer.
Meanwhile, the debate over benefits continues as retirees await the 2027 cost-of-living adjustment. The latest estimates put the 2027 COLA at 3.5% to 3.6%, with the official adjustment expected in October.
Photo courtesy: Shutterstock/ Lane V. Erickson
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