H.R.571 - ____ Act (119th Congress)
Summary
H.R. 571, introduced in the House of Representatives, proposes to amend Title II of the Social Security Act by means-testing certain child's insurance benefits. Specifically, it targets benefits for children aged 18 or older who are considered full-time elementary or secondary school students. These benefits would be affected if the child's parent receives old-age or disability insurance benefits, is 67 or older, and has earnings exceeding $125,000 per year.
The bill aims to limit benefits based on parental income, potentially reducing government expenditure on Social Security. The amendment would apply to benefits paid for any month beginning after the enactment date of the Act.
The short title of the Act is left blank in the document, indicating it is still in the early stages of the legislative process.
Expected Effects
The primary effect of this bill, if enacted, would be to reduce Social Security benefits paid to some children of older, higher-earning parents. This could lead to savings for the Social Security system, but also potentially create financial hardship for some families.
It would change the eligibility criteria for child's insurance benefits, adding an income-based test. The bill could also incentivize older individuals to reduce their earnings to ensure their children continue to receive benefits.
Potential Benefits
- Potential reduction in government spending on Social Security.
- May encourage fiscal responsibility by targeting benefits to those with greater financial need.
- Could disincentivize high-income individuals from relying on child's insurance benefits.
- Might lead to a more sustainable Social Security system in the long term.
- Could free up resources for other social programs or tax reductions.
Most Benefited Areas:
Potential Disadvantages
- Could negatively impact children from lower-middle class families where the parent is still working to make ends meet.
- May create administrative complexities in determining eligibility based on parental income.
- Could be perceived as unfair to children who rely on these benefits for education or other needs.
- Might discourage older individuals from working, potentially reducing their contributions to the economy.
- Could increase the financial burden on families already struggling with the costs of education and living expenses.
Constitutional Alignment
The bill's alignment with the US Constitution is primarily related to the General Welfare Clause (Preamble). This clause allows Congress to enact laws that "promote the general Welfare." The bill's proponents might argue that means-testing child's insurance benefits promotes the general welfare by ensuring the efficient use of Social Security funds.
However, opponents could argue that it violates the principle of equal protection under the law, potentially discriminating against children based on their parents' income. This could raise concerns under the Fifth Amendment's Due Process Clause, which includes an equal protection component applicable to the federal government.
Ultimately, the constitutionality of the bill would likely depend on whether it is deemed to have a rational basis and whether the classification based on parental income is substantially related to an important government interest.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).