HR 2909

The "You Earned It, You Keep It Act" proposes significant changes to how Social Security benefits are calculated and taxed. It aims to eliminate the inclusion of Social Security benefits in an individual’s gross income, and it introduces a system where wages exceeding $250,000 are not considered for Social Security tax purposes. Furthermore, the bill modifies the calculation of primary insurance amounts by incorporating excess wages and self-employment income earned above $250,000, potentially increasing benefits for higher earners. It also addresses tax implications for self-employment income, aiming to clarify how earnings are treated for tax purposes.