Facts About Social Security
A Bedrock for 70 Years
The need for a social insurance program in the United States reached a critical point during the 1930’s as the Depression was in full swing. But many don’t realize that the first mention of a U.S. system of social security came 135 years earlier. In Agrarian Justice, Thomas Paine described a program that would provide pensions for all Americans regardless of their means. Read more . . .
How Social Security Works
More than 47 million Americans received over $500 billion in Social Security benefits in 2004. Funds for these payments were generated from monies withheld from workers’ paychecks (6.2%) and matching monies provided by employers (6.2%). If you are self-employed, you pay both shares (12.4%). Read more . . .
The Trust Funds
Payroll taxes collected are placed in the Social Security Trust Funds—the Old Aged and Survivors Insurance (OASI) and the Disabled Insurance (DI) fund. After benefits are paid, surplus monies are used to purchase government bonds. These bonds are loans to our government that are used to pay to run our government. They are fully guaranteed by the United States government. The United States government must repay these loans with interest. Read more . . .
Not Just Your Mother's Retirement Program
Social Security is particularly important for women, providing the foundation for women's retirement security. As a result, the privatization of Social Security threatens to exert an especially detrimental impact on the lives of women. Read more . . .
The Kids Are Alright: How Social Security Protects Children and Families
More than just a retirement program, Social Security provides a family insurance program for workers, their spouses, and their children. As an essential social insurance program, Social Security provides an important safety net for America's most vulnerable citizens, many of whom are children. Consequently, cuts to Social Security benefits under current privatization schemes threaten the millions of children who depend on Social Security. Read more . . .
Young Americans and Social Security
There are several reasons why younger Americans should not only understand the current debate around the future of Social Security but get involved in the debate. Read more . . .
Private Accounts & Their Impact
The President has proposed allowing wage earners to divert a portion of their earnings away from Social Security and into private/personal accounts where the wage earner would choose which investment vehicles he or she thinks would provide the best return for their money. Read more . . .
Possible Approaches To Ensuring Social Security Continues To Provide Effective Social Insurance
In the 1990s, Americans took a hard look at Social Security and its future needs. As a result, adjustments were made. It is only wise for us to take a hard look again at what other adjustments can be made now long before 2041. Read more . . .