Social Security Details

July 8 - The Washington Post printed an article today comparing the Social Security plans of Senators Obama and McCain. Senator Obama has previously said that he would apply the payroll tax to those who make more than $250,000 and this article offers further clarity:

"His aides said income exceeding $250,000 [could] be taxed at a rate of 2 percent to 4 percent, rather than the 6 percent tax that people pay toward Social Security on income below the $102,000 cutoff, which is matched by their employer's paying a 6 percent tax. Employers would probably pay an additional tax, but the total tax paid by both employee and employer would not exceed 4 percent of the amount of income earned over $250,000."