United States debates individual Social Security accounts amid funding concerns

Policy advocates argue that the current Social Security system, where roughly three workers support each beneficiary, could be restructured by giving workers separate, 401(k)-style accounts. President George W. Bush previously proposed such a change, but Congress rejected it in 2005 over transition costs and market‑risk worries.

Critics note that individual accounts might run out of money for some retirees, potentially increasing poverty, while a modest payroll‑tax raise (e.g., from 6.2% to 7%) would only partially address the financing shortfall. The Association of Mature American Citizens (AMAC) and its foundation continue to promote a reform plan to Congress, urging action before Social Security reserves are depleted.