Image via Wikipedia
This is the 75th Anniversary of the Social Security Program.
Social Security Benefit Application – Retirement / Medicare. Before applying your you should read Using this application You may also want to review:
Social Security Benefit Application - Disability benefits application. Before applying your you should read Using this application You may also want to review:
The History of the Social Security Program – includes a video from AARP
For 25 years, the Social Security Program has been taking in more than it has been paying out, and by 2008 had a reserve fund of about $2.5 trillion, invested in government bonds.
Social Security pays monthly benefits to about 53 million Americans.
Yet, right now there is much controversy, debate and opinion about possible cuts to the benefits, even though the Congressional Budget Office estimates that the reserve fund and payroll taxes will cover full payment of benefits for another 33 years.
The controversy centers is around:
the current federal and state government's budget deficits,
the recession and high unemployment means less money has come in than anticipated, and the Social Security system has begun drawing down the previously built up reserves,
the shortfalls in Social Security reserves brought about at least partially by seniors living longer in retirement,
the Social Security reserves making minimal returns on the money that it invests in government bonds,
an increase in applicants from those who were unable to find work after they've turned 65 due the the recession / depression.
An increase in the number of applicants as the 'baby-boomer' generation reaches 65+. An extraordinary large, some would say disproportionate, number of the population were born in the late 1940s and early 1950s.
There are disproportionately fewer young working people to pay into the system; many at reduced incomes because of the current recession/depression.
There are political and other issues involved, of course, resulting in the current great debate about whether to increase or decrease benefits. Since 1972 Social Security benefits have been adjusted to the cost-of-living. There is some suggestion that this policy be changed.
Social Security is primarily financed by a 12.4 percent payroll tax, split between employer and employee.
10 Things You Should Know About Social Security - from AARP
... more, in future
No comments:
Post a Comment
Whether you like this and agree with us, or not, thank you for your comments. We normally do not purge an individual comment, unless it is obscene or obvious spam.