Joe Biden wants Social Security to be altered. He hasn't made an effort to conceal this. In fact, Biden ran for president with a promise to radically alter the federal program.
The president proposed raising the payroll taxes that high-income Americans must pay.
He particularly wants the Federal Insurance Contributions Act (FICA) tax to be applied to any income over $400,000 per year. A payroll tax known as FICA raises money for Social Security.
Currently, a 12.4% tax rate applies to all income up to $147,000 per year. This payroll tax is split equally between employers and employees.
Self-employed people are obligated to pay the whole amount because they are both employers and workers.
According to Biden's proposal, any income between $147,000 and $400,000 would be exempt from the FICA tax, creating a "doughnut hole."