If I had more time, I would like to research the math behind this article. I think it is a bit too simplistic to the rich are getting a free ride on this social issue.

Here's my understanding of how this works in Canada. For the CPP (the Canadian SS), mandatory deductions are also capped. I can't recall the level; my quick guess is about C$60,000 a year.

When a high income earner retires, he gets CCP based on someone who has earned $60,000 a year, not his average earnings of, let's say, around $150,000 a year. In this sense, the retiree is not getting a free ride.

We also have a higher marginal tax rate. Incomes in the $150,000 are paying about 40% in taxes. So yes, the high earners pays a lower proportion of income into the CPP, but much more into the general revenue stream. At the end of the day, the high earner is forking over a higher proportion of gross income to the government than a low-income person.

Then, of course, is the mystery of how retirement benefits are calculated. There really is no attempt to explain the calculation to anyone. Is the CCP solvent? Who knows? Actually, several economists have claimed it is not beacuse the benefit caculations are based on the principal earning 8% a year.

And voters don't like to see their CPP benefits decreasing.

I suspect the American system has a lot of smoke and mirrors as well. No one really knows the truth.