WASHINGTON--President Obama wants to cut Social Security payroll taxes in half for workers and employers in order to provide a fast jolt the economy. Last year, Obama and Congress agreed to shave the workers portion of the Social Security tax to 4.2 percent from 6.2 percent, with employers still paying the full 6.2 percent share. Under Obama's proposal, both sides would get a bigger break with the rate dropped temporarily to 3.1 percent, with the business cut applied to the first $5 million in payroll. Obama would eliminate payroll taxes totally for companies hiring new workers or giving raises.
"You should pass it right away," Obama told Congress.