Other Options Exist to Save Social Security

“No Market Magic for Aging U.S.” (James Flanigan, Sept. 5) seems to accept at face value the old canard -- attributed in the column to Stanford University economist John Shoven -- that the only two ways to save Social Security are to either increase FICA taxes on workers or reduce our benefits.

The obvious solution, not mentioned anywhere in the article, is to reduce the FICA tax rate but remove the cap on the amount and types of income subject to the tax, including interest, dividends and capital gains.

For once, the Laffer Curve may be the way to go: Reduce the rate for everybody, end the free ride for wealthier Social Security recipients, and increase revenue to the Social Security Fund.

Robin Matt

Ventura

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What would happen if we raised the salary cap to say $100,000 or $150,000?

Even better, perhaps we could reduce taxes on both individuals and businesses if all income were taxed as is done with Medicare.

Catherine G. Burke

Associate Professor

School of Policy, Planning and Development, USC

Los Angeles

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How is it, Mr. Flanigan, that you so readily predict an average 6% rise in stock market investments but you predict disaster to an individual who allocates 2% from FICA premium and invests it in the U.S. economy?

You claim that the stock market is too risky for a saver- investor but do not bat an eye when government pays the national debt with our 401(k) and Social Security tax increases, or if our Social Security payments become simply limited to $600 per month as you advocate.

Dan Matulich

Rolling Hills Estates