Join Early Retirement Today
Thread Tools Search this Thread Display Modes
Bowles-Simpson V2
Old 02-20-2013, 03:23 PM   #1
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Midpack's Avatar
Join Date: Jan 2008
Location: Chicagoland
Posts: 10,664
Bowles-Simpson V2

Obviously we can't and shouldn't debate it here, but it would be nice if we could just get off fiscal dead center...
Four Steps to Deficit Reduction (2014-2023)

Step 1: Reduce Defense and Non-Defense Discretionary Spending (~$1.85 trillion)
• Enact immediate reductions in discretionary spending levels (Oct 2010-Apr 2011)
• Impose ten-year caps to reduce and limit the growth of discretionary spending (Aug 2011)

Step 2: Increase Revenue Collection and Enact Minor Additional Spending Cuts (~$850 billion)
• Allow the upper-income tax cuts to expire, generally for income above $450,000 (Jan 2013)
• Make minor reductions in discretionary caps and Medicare provider payments (Jan 2013)

Step 3: Enact Serious Tax and Entitlement Reforms and Cut Additional Spending (~$2.4 trillion)
• Reduce Medicare and Medicaid spending by improving provider and beneficiary incentives throughout the health care system, reducing provider payments, reforming cost-sharing, increasing premiums for higher earners, adjusting benefits to account for population aging, reducing drug costs, and getting better value for our health care dollars (Feb-Dec 2013)
• Enact comprehensive, pro-growth tax reform that eliminates or scales back most tax expenditures, with a portion of savings from tax expenditures dedicated to deficit reduction and the additional savings used to reduce rates and simplify the tax code (Feb-Dec 2013)
• Strengthen limits on discretionary spending (Feb-Dec 2013)
• Reduce non-health mandatory spending by reforming farm subsidies, modernizing civilian and military health and retirement programs, imposing various user fees, reforming higher education spending, and making other changes (Feb-Dec 2013)
• Adopt chained CPI for indexing and achieve savings from program integrity (Feb-Dec 2013)

Step 4: Make Social Security and Highway Funding Solvent and Medicare Sustainable
• Require reforms on a separate track to make Social Security sustainably solvent (2013)
• Require a highway bill to bring transportation spending and revenues in line (2014)
• Require additional reforms of federal health care programs if necessary to limit the growth of the per beneficiary federal health commitment to close to GDP growth (2018)
No one agrees with other people's opinions; they merely agree with their own opinions -- expressed by somebody else. Sydney Tremayne
Retired Jun 2011 at age 57

Target AA: 60% equity funds / 35% bond funds / 5% cash
Target WR: Approx 2.5% Approx 20% SI (secure income, SS only)
Midpack is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


All times are GMT -6. The time now is 01:33 PM.
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2016, vBulletin Solutions, Inc.