Saturday, June 18, 2011

AARP sounds the alarm: Social Security must change - CBS News

(CBS News)

Washington awoke to a new political reality.

Most powerful senior of the nation group said the Wall Street Journal was ready to make the cut in Social Security benefits. AARP Rother policy Chief John admitting "some of our members is certainly annoying."

So annoying that within hours the AARP insisted always was its position, CBS News correspondent Nancy Cordes reports.

"We can make changes that are modest and we can make changes with a great amount of time for which need not affect anyone who is currently retired today or near retirement," said said David Certner, AARP legislative policy director.

But the Group has long opposed these cuts.

As one of their ads says: "AARP has been working to preserve social security for more than 50 years".

Politicians on both sides were stunned.

"I think that it is a very good thing," said Erskine Bowles, who co-chaired the tax Commission of the Obama President. "I think that they have recognized reality, that the social security trust fund is operating in a negative position of substantial cash."

Bowles Commission proposed cutting Social Security benefits for persons age rich and support of many lawmakers, as Republican Johnny Isakson, the age of retirement to 69 by the year 2075 - incremental changes more and more slowly.

"That could fix Social Security tomorrow as they did in 1983 and not take a penny to no one but raise the eligibility to be more reflective of life expectancy," said Isakson.

But both parties have been reluctant to make these changes and risk upset more consistent voting bloc in the nation - largest.

A senior, said: "Social Security is a secure, is not a gift, is not welfare".

And that is where comes in the AARP. Its support for the modest reduction could give lawmakers the political cover they need to fix Social Security in the long term.

Why is AARP doing now?

"Basically is due to the reduction of debt talks that are now happening on Capitol Hill, led by Vice President Biden," said Cordes. "Some proposals have been floated to Social Security in these discussions to cut it as a way of reducing the debt and the AARP insists that Social Security should not be paved, causing no debt, and that it should not be used to lower it."

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