RRB Weighs in on the House Budget

In a release from the Railroad Retirement Board (RRB) stated the impact of the measures that call for conforming railroad retirement tier I benefits to social security benefits.

 In the statement the RRB states’ “While railroad retirement tier I payroll taxes are coordinated with social security taxes so that employers and employees pay tier I taxes at the same rate as social security taxes, both railroad employees and employers pay additional tier II taxes which are used to finance railroad retirement benefit payments over and above social security levels.”

“Consistent with the higher taxes paid by railroad employers and employees, the average railroad retirement benefit payable to a retired railroad employee is generally higher than the average social security benefit.”

Click here to read the full release from the RRB.

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