A bill announced in the U.S. House could scrap federal taxes on Social Security benefits starting in 2025, while introducing a new funding stream that might keep the program going for an additional 20 years.
On Jan. 25, Rep. Angie Craig, D-Minn., reintroduced legislation, dubbed the “You Earned It, You Keep It Act,” that would repeal the taxation of Social Security benefits, putting money back into the pockets of retirees.
In addition, an analysis of the bill from the Social Security Administration shows how changes in financing would allow the agency to continue making payments in full through 2054, which is 20 years longer than current projections.
