Bernie Sanders' Proposals for Social Security (SSA) and Supplemental Security Income (SSI)
Senator Bernie Sanders has generally advocated expanding retirement and disability benefits
while strengthening the long-term financing of Social Security. His approach differs from
proposals that seek to reduce benefits or raise the retirement age.
At the center of his agenda is the Social Security Expansion Act, legislation designed to
increase benefits, improve cost-of-living adjustments, and raise additional revenue from
higher-income individuals.
Social Security (OASDI) Proposals
1. Increase Monthly Benefits
The Social Security Expansion Act would increase benefits by modifying the benefit formula
used to calculate monthly retirement and disability payments.
Supporters of the legislation have estimated that the changes could increase benefits by
approximately $2,400 per year for many recipients, or about
$200 per month.
2. Use the CPI-E for Cost-of-Living Adjustments (COLA)
Sanders proposes replacing the current inflation measure used for Social Security COLAs with
the Consumer Price Index for the Elderly (CPI-E).
The CPI-E places greater weight on expenses commonly incurred by older Americans,
particularly:
- Health care
- Prescription drugs
- Housing costs
The objective is to provide cost-of-living adjustments that more accurately reflect the
expenses faced by seniors.
3. Strengthen Benefits for Low-Income Workers
The legislation would establish a stronger minimum Social Security benefit tied to poverty
guidelines for workers with long employment histories but relatively low lifetime earnings.
This provision is intended to help ensure that retirees who worked for decades do not retire
into poverty.
4. Increase Revenue from Higher Earners
One of the primary funding mechanisms would apply Social Security payroll taxes to earnings
above $250,000.
Under current law, payroll taxes only apply up to an annual wage cap. Sanders argues that
higher-income workers should contribute Social Security taxes on income above $250,000,
thereby generating additional revenue for the system.
5. Tax Certain Investment Income
The Social Security Expansion Act also proposes increasing revenue through taxes on certain
forms of investment income and higher-income taxpayers. These revenues would help strengthen
the program's long-term finances.
6. Oppose Raising the Retirement Age
Sanders has consistently opposed proposals to increase the Social Security retirement age.
His position is that Social Security's financial challenges should be addressed through
additional revenue rather than through benefit cuts or delayed eligibility.
Supplemental Security Income (SSI) Proposals
SSI differs from Social Security retirement and disability insurance because it is funded by
general federal revenues rather than payroll taxes.
Although the Social Security Expansion Act primarily focuses on Social Security retirement
and disability benefits, Sanders has generally supported reforms designed to strengthen SSI.
Key SSI Positions
- Increase SSI benefit levels.
- Modernize and raise SSI asset limits.
- Reduce penalties on beneficiaries who save modest amounts.
- Simplify eligibility rules.
- Strengthen protections for disabled Americans.
These proposals reflect Sanders' broader anti-poverty agenda and his view that SSI program
rules have not kept pace with modern economic realities.
Potential Impact on Medicare and Disability Beneficiaries
For retirees, SSDI recipients, Medicare beneficiaries, and dual-eligible individuals,
Sanders' proposals generally aim to expand economic support and reduce financial pressures.
| Program |
General Direction |
| Social Security Retirement |
Higher monthly benefits |
| Social Security Disability (SSDI) |
Higher benefits and stronger funding |
| Supplemental Security Income (SSI) |
More generous eligibility and benefit rules |
| Medicare |
Expanded benefits under Medicare for All proposals |
| Out-of-Pocket Medical Costs |
Substantially reduced under Medicare for All proposals |
Key Takeaway
Bernie Sanders' approach to Social Security and SSI centers on expanding benefits,
increasing protection against inflation, strengthening support for low-income retirees
and disabled Americans, and financing those expansions primarily through higher taxes on
high-income earnings and certain forms of investment income rather than through benefit
reductions or increases in the retirement age.
