Roybal-Allard Botes to Repeal Social Security Earnings Limit
82,787 Senior Citizens in California Will Be Helped by Passage of Senior Citizens Freedom to Work Act
Washington,
Mar 1, 2007 -
Roybal-Allard voted today in favor of a bill that repeals the earnings test for Social Security beneficiaries between the ages of 65 and 69.
Under current law, seniors who claim Social Security benefits before they reach 69 are subject to a reduction in benefits if they continue to work. The earnings limit originated in the 1930's. It remains despite the vast changes in the economy and the lives of senior citizens that have taken place over the last 60 years.
For seniors 65 to 69, benefits are reduced by $1 for every $3 of their earnings exceeding the limit of $17,000. The Senior Citizens Freedom to Work Act repeals this limit entirely, effective immediately.
"The Senior Citizens Freedom to Work act would help senior citizens who are being penalized for working," Roybal-Allard said. "It makes no sense to penalize senior citizens for participating in the workforce. People remain healthy and vigorous longer than they did in the 1930's and it makes sense to repeal this complicated, obsolete and punitive limit."
"Today, we took the first step towards strengthening retirement security for all seniors. This step was just the start of what we must do in order to put Social Security on a firm financial footing. We must use the budget surplus to strengthen Social Security and Medicare."
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