Debate: Should New Parents Be Allowed to Tap Social Security?

Two recently proposed bills would tap into Social Security retirement program benefits to fund a paid parental leave program after the birth or adoption of a child. The bills would provide current paid leave following the birth or adoption of a child in exchange for reduced Social Security benefits during retirement.

The eventual reduction in Social Security retirement benefits would be permanent for taxpayers who opt to take advantage of the paid parental leave during their working years.

We asked professors Robert Bloink and William Byrnes, authors of ALM’s Tax Facts with opposing political viewpoints, to share their opinions about using Social Security funds to create a nationwide paid parental leave program.

Below is a summary of the debate that ensued between the two professors.

Their Votes:

Byrnes

Bloink

Their Reasons:

Byrnes: Parents in the United States have some of the most limited benefits in the developed world, a fact that Democrats point to on repeat. We need to find a way to give employees the resources to take time off after the birth or adoption of a child. We only have limited ways to fund these types of important benefits, and giving people the choice to access their own Social Security funds today seems like a fair solution.

Bloink: Using Social Security to fund parental leave would have a devastating impact on retirement security for future generations. These parental leave programs would require Americans to choose between current benefits for parental leave and their future financial stability, creating a retirement income crisis for future years.

We have to assume that, if given the chance, most people would choose to receive the benefits currently rather than in the future — kicking the funding problem further down the road for future generations to deal with.