WASHINGTON (WCSC/CNN) – Republican senators are seeking to reform Social Security by raising the retirement age and cutting benefits to wealthier Americans.
Senators Lindsay Graham, R-SC, Mike Lee, R-UT, and Rand Paul, R-KY, introduced new legislation to address funding issues facing Social Security in the future. Under their proposal, a gradual increase in the social security retirement age to 70 by 2032.
The senators propose a gradual increase in the Social Security early retirement age from 62 to 64 by 2028. The senators say the plan would reduce debt by $6.2 trillion by 2085.
"Social Security is coming unraveled and it must be preserved," Graham said. "Our plan saves Social Security and will be significant down-payment on comprehensive entitlement reform. I've been involved in Social Security reform since my election to the Senate in 2002."
The plan also calls for slower Benefit accumulation for "higher lifetime earners" after 2018. All new retirees coming into the system would have benefits based on the first $43,000 of their average lifetime yearly earnings calculated based on wage growth. Above $43,000, benefits will be calculated based on price growth.
"I'm quite familiar with the scare tactics and know first-hand the demagoguery that is sure to come our way," Graham said. "But the American people know the problems facing Social Security are real and must be addressed. Every year we delay, the solutions get more difficult and the consequences of inaction become more dramatic. It's time for action."