Since paying its first benefit check in January of 1940, Social Security has been a bedrock of economic security for millions of American seniors, children, widows and widowers, and disabled workers. Social Security represents the best of American values: rewarding hard work, looking out for family and community, and honoring the contributions retirees have made to our current prosperity.
Social Security is more important now than ever. Traditional pensions have all but disappeared, and savings, assets and home equity are all casualties of the economic crisis, but Social Security benefits have continued to provide a stable source of income for 27% of households. More than 50 million Americans received benefits in June of 2010 alone, including over 3 million children. And the program’s stimulative effect is undeniable — much of that money was pumped directly back into local businesses in every community in the country.
We can never predict who will become disabled, who will die young leaving behind dependent children, or who will live to be 100. But with Social Security, we can guarantee none of these events will lead to economic disaster for our fellow Americans – or ourselves.
This brief explains how Social Security works right now — for Americans of all ages — and analyzes long-term projections of the program’s finances. It explains why we should end the cynical drive to cut benefits and raise the retirement age, and instead focus on ways to increase benefits now for a stronger, 21st century Social Security program.
Social Security is the bedrock of economic security of millions of Americans. It represents the best of American values — lending a helping hand when a family breadwinner passes away, ensuring disabled Americans are able to live with dignity, and providing economic stability to millions of American retirees. And with the recent economic crisis, Social Security is more important now than ever.
Traditional pensions have all but disappeared in the private sector. Americans have watched their assets evaporate, whether in 401(k) plans, savings or home equity, and half of the workforce has no retirement plan other than Social Security. The importance of Social Security benefits to 80% of American seniors is indisputable – just take a look at this week’s chart.
Income ranges: bottom 20% – under $12,082; next 20% – $12,082 to $19,877; middle 20% – $19,877 to $31,303; next 20% – $31,303 to $55,889; top 20% – over $55,889. Source: Social Security Administration, Income of the Population 55 or Older, 2008
This month, Social Security is celebrating it’s 75th birthday as a bedrock of economic security for millions of working, retired and disabled Americans. And what better way to celebrate one of the most successful federal programs in history than with a birthday party?
Held on Monday August 16th, the 75th birthday party for Social Security featured speeches from Senator Patty Murray, Rep. Jim McDermott, and PSARA President Robby Stern, as well as stories from real people who have benefited from Social Security — including EOI Policy Director Marilyn Watkins.
The party drew young and old people alike, with participants packing the room to enjoy birthday cake and a sparkling apple cider toast to Social Security. The event was hosted by the Puget Sound Alliance for Retired Americans, the Phinney Neighborhood Association’s Greenwood Senior Center, and Social Security Works Washington. Watch the video here:
When Franklin Delano Roosevelt signed the Social Security Act 75 years ago, he became the godfather of a rebirth of economic security in the midst of the Great Depression. This one act put the words of the Constitution into action, enabling our society to “promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity.”
Social Security was a promise for freedom — freedom from want and freedom from fear, two grim reapers in an economy with double digit unemployment and widespread poverty.
It made good on this promise, establishing a system, insulated from the private market, which guaranteed economic security for the elderly, the disabled, and widows and their children. And it still does. Read the rest of this entry »
