The You Earn It, You Keep It Act would repeal federal taxation of Social Security benefits, shifting new payroll tax contributions to earnings above $250,000. If enacted this year, the repeal would begin with the 2026 tax year, showing up on returns filed in early 2027. The Senate measure mirrors a House bill from Rep. Angie Craig, with referrals to the Senate Finance Committee and the House Ways and Means Committee. Senior advocacy groups, including The Senior Citizens League, publicly backed the legislation as long-overdue tax relief for retirees. Fiscal watchdogs such as the Committee for a Responsible Federal Budget warn the change could strain long-term funding without robust offsets, and the bill faces uncertain prospects in a divided Congress.
