CarriageTowneNews.com, Kingston, NH

Online Extras: News to Note

August 30, 2012

Social security's woes are worse than you think

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Right now, we spend more money on Social Security than on Medicare, and that will remain the case for a while. The programs' trustees project that by 2035 Social Security will consume 6.4 percent of the economy and Medicare 5.7 percent. The Medicare projection may be optimistic about recent attempts to impose cost controls, but we shouldn't expect Medicare to become vastly larger than Social Security in the next two decades. After that point, Social Security costs start going down as demographics play out while Medicare becomes a vastly larger problem.

But our finances will be in what's technically called a world of hurt before Social Security costs peak. Under current projections by the Congressional Budget Office, by 2025 public debt will have reached 106 percent of gross domestic product. By 2035, it will have reached 181 percent. What would happen after that point is an academic question: We can't allow ourselves to get there.

We need to fix both programs. If anything, it's Social Security that ought to be saved first because it's the more urgent near-term problem. Some of the steps we can take to make the program solvent, moreover, would improve Medicare's finances, too. Raising the retirement age, for example, would encourage people to work longer and thus pay more taxes into both programs.

Perhaps even more important, we have a better sense of how to restrain the growth of Social Security than of Medicare.

One promising option is to reduce the growth of Social Security benefit levels, especially for high earners. The program could be reformed so that high earners who retire in 2040 receive the same benefit level that high earners who retire in 2020 will — with an adjustment for inflation, but nothing more. Under the program as it stands now, those future retirees will get a bigger benefit.

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Obituaries
  • Marie Rose (Robidoux) Audy

    LAWRENCE — Marie Rose (Robidoux) Audy, passed away at her home surrounded by her family, after suffering a stroke in April. She was born in Lawrence and was the daughter of the late Rose A. (Betit) and Alfred Robidoux, originally of Quebec, Canada. She was predeceased by her husband of 28 years, Armand Joseph Audy, who passed away on June 28, 1976.

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    6 days
  • Charles Anthony "Chuck" Carnival, 79

    Jackson, MS — Charles Anthony “Chuck” Carnival, 79, formerly of Raymond, N.H., passed away Thursday, June 19, 2014, at Central Mississippi Medical Center in Jackson, Miss.

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    13 days 1 Photo
  • Francis M. Lurvey, 76

    Bar Harbor, ME — Francis M. Lurvey passed away Sunday, June 22, in Bar Harbor, Maine, after battling cancer. By his side were his sons, Edwin Lurvey and Steven Lurvey and his niece and husband, Debra and Richard Carey, as well as cousin, Marion McDonald. He was the son of Edwin R Lurvey (Bar Harbor) and Delia Amazeen (Dexter). He is survived by five children, a stepson, and their families. His sons, Edwin and wife April, Steven and wife, Pam, David and his daughter, Meghan, as well as his daughters, Lorraine and Ellen and her husband, Paul DiScipio with daughters, Katherine and Julia, and his stepson, Brian Faulkner and wife, Jody with children, Trevor, Rachel, and Keith. He is also survived by his sister, Sheryl, and many nieces and nephews including Frank Lurvey and Elaine Langer. Francis was predeceased by his twin brother, Frank, as well as his brothers, Edwin and Erwin. He was also predeceased by his longtime companion, Brian and Edwin’s mother, Maureen Faulkner and former wife, Roberta Lurvey Gilmore.

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    20 days 1 Photo
  • Norman R. Cote

    Atkinson, NH — Norman R. Cote, of Atkinson, was called to his heavenly home on June 16, 2014, following a period of declining health.

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    20 days
  • Frederick M. Hopper, 64

    Epping, NH — Frederick Michael Hopper, of Epping, N.H., passed away unexpectedly on Sunday, June 15, 2014. Predeceased by his wife, Alice Hopper, he is survived by his longtime girlfriend, Joann Peatfield; daughters, Shay Belair and Jayne Pond; sons-in-law, Adam Belair and James Pond; mother, Arlene Hopper; father and stepmother, Frederick S. and Barbara Hopper; siblings, Susan Hardy, Stephan Hopper, Scott Hopper, and Sherri Chagnon; grandsons, Benjamin Belair, Jonathan Belair and Jackson Pond; and numerous nieces and nephews.

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    27 days 1 Photo

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