SENIOR ASSEMBLY FEDERAL PROPOSAL NO. 7

INTRODUCED BY SENIOR ASSEMBLY MEMBER LOPES

LEGISLATIVE COUNSEL'S DIGEST

AFP 7: SOCIAL SECURITY: TAXABLE EARNINGS LIMIT.

UNDER EXISTING LAW, THE MAXIMUM TAXABLE EARNINGS THAT IS COVERED BY SOCIAL SECURITY TAXES IS $106,800.

THIS MEASURE WOULD MEMORIALIZE THE CONGRESS AND THE PRESIDENT TO ENACT LEGISLATION THAT WOULD RAISE THE MAXIMUM TAXABLE EARNINGS LIMIT FOR SOCIAL SECURITY TO $250,000.

VOTE: MAJORITY.

AFP 7: RELATING TO SOCIAL SECURITY

WHEREAS, THE 2009 MAXIMUM TAXABLE EARNINGS ON WHICH TAXES ARE REQUIRED TO BE PAID INTO THE SOCIAL SECURITY FUND IS $106,800; AND

WHEREAS, ANYONE WHO IS NOT SELF-EMPLOYED EARNING MORE THAN $106,800 IS OBLIGATED TO PAY NO MORE THAN $6,621 INTO THE SOCIAL SECURITY FUND; AND

WHEREAS, SELF-EMPLOYED INDIVIDUALS EARNING MORE THAN $106,800 WILL PAY NO MORE THAN $16,340 INTO THE SOCIAL SECURITY FUND; AND

WHEREAS, RAISING THE MAXIMUM WAGE AND EARNINGS CAP ABOVE THE CURRENT CAP OF $106,800 COULD ALLEVIATE THE SO CALLED SOCIAL SECURITY DEFICIT; AND

WHEREAS, MANY PEOPLE EARNING HIGHER WAGES WOULD BE ABLE TO RECEIVE A HIGHER PENSION AT RETIREMENT; AND

WHEREAS, PRESIDENT OBAMA HAS SUGGESTED RAISING THE MAXIMUM EARNINGS CAP ON SOCIAL SECURITY; NOW, THEREFORE, BE IT

RESOLVED, BY THE SENIOR ASSEMBLY AND THE SENIOR SENATE, JOINTLY, THAT THE SENIOR LEGISLATURE OF THE STATE OF CALIFORNIA AT ITS 2009 REGULAR SESSION, A MAJORITY OF THE MEMBERS VOTING THEREFOR, HEREBY PROPOSES THAT THE CURRENT TAXABLE EARNINGS LIMIT FOR SOCIAL SECURITY BE RAISED TO $250,000; AND BE IT FURTHER

RESOLVED, THAT THE SENIOR LEGISLATURE OF THE STATE OF CALIFORNIA RESPECTFULLY MEMORIALIZES THE CONGRESS AND THE PRESIDENT TO ENACT APPROPRIATE LEGISLATION THAT WOULD ADDRESS THE CONCERNS SET FORTH IN THIS MEASURE; AND BE IT FURTHER

RESOLVED, THAT A COPY OF THIS MEASURE BE TRANSMITTED TO THE PRESIDENT AND VICE PRESIDENT, THE SPEAKER OF THE HOUSE OF REPRESENTATIVES, THE CHAIRPERSONS OF THE HOUSE AND SENATE COMMITTEES ON AGING, AND TO EACH SENATOR AND REPRESENTATIVE FROM CALIFORNIA IN THE CONGRESS OF THE UNITED STATES.

RN 09 16383

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