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Should the Social Security Payroll Tax Be Capped or Limited

question 46

Essay

Should the Social Security payroll tax be capped or limited to the first US$132,900 of wages? Provide reasons that are used to justify both sides of this proposal, that is, in support of and against.


Definitions:

Salary Increase

An upward adjustment to an employee's base compensation as a reward for performance, promotion, or inflation adjustments.

Field Experiment

An empirical study conducted in real-world settings outside of the laboratory to observe and analyze the effects of variables in their natural context.

Clothing Donations

The act of giving away clothes that are no longer wanted or needed, often to charities or organizations that support those in need.

Local Kids

Children originating from or living in a particular area or neighborhood.

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