Social Security History and Reform

Social Security History and Reform in USA

For 65 years, Social Security has provided retirement security for tens of millions of Americans. Four generations of Americans have relied on the Government to keep the promises it made to them during their working years.

The Social Security system faces a long-term unfunded liability of $8.7 trillion. In addition, the structure of Social Security leads to substantial generational inequities in average rate of return. Why is this happening?

First, longer life spans mean more benefit payments. In 1940, during the early years of the program, life expectancy at age 65 was an additional 12 years for men and 13 years for women. By 2075, the remaining life expectancy at age 65 is projected to be 20 years for men and 23 years for women. As a result, people are spending a growing proportion of their lives in retirement.

Secondly, a long-term decline in fertility rates means there will be fewer workers available to support each retiree once the baby boom generation starts to retire. As a result of declining birth rates and increasing life expectancy, the ratio of workers to Social Security beneficiaries is expected to shrink from 5.1 in 1960 to 3.4 today to 2.1 in 2030.

Reform: A Solution.

Allowing individuals to keep some of their payroll taxes in personal retirement accounts to provide for their own retirement security. Personal retirement accounts, which would be voluntary, would enable individuals to build financial wealth and security in a way that the current Social Security system does not.

Personal accounts invested in safe private financial markets will earn higher rates of return than the traditional system and help workers enhance their personal savings and their freedom to retire. Ownership of a real financial asset without the political risk of future changes would mean more security for working Americans to build their own retirement assets, and to pass those assets on to their children.

Source: Whitehouse.gov

Following are some common questions about Social Security numbers in the USA:

Administration access link.

Question: Is there a simple, low cost way to lookup Social Security numbers?

Answer: Yes. There is a tool that online investigators use to find SSNs and a person's last known address. The web site for download is here: Net Detective This high-tech investigative software tool will facilitate your searching of the SSDI and the SSN.

Question: Can this tool also give me access to other U.S. Public Records?

Answer: Yes. A wide range of Government databases can be searched, including Court Records, (50 States) Driving and Criminal Records, Adoption files, hidden assets, and there is even a section on gaining legal access to read your own FBI file. You are permitted access by Freedom of Information provisions in US Federal Law.

Question: How are Social Security numbers presently being used, and are there any problems?

Answer: There are two main difficulties with the way SSNs are being used these days. The first is that they are used (by different organizations, including hospitals, banks, share brokerages, driving licence authorities, universities, schools, etc.) as if they were both a representation of identity and a secure password-(some banks). The second problem is that they have become a widely used identifier which can be used to tie multiple records together about a single individual. In this Age of Information, they are used to integrate various Government departmental databases; thus issues arise about control, privacy, civil rights and freedom. Given the pressing present need for increased levels of National security, it is reasonable that some degree of individual freedom be sacrificed to ensure stricter Immigration control and general security. The SSN has become a de facto identity card in the United States of America, though that was not the original intention.

Last updated: July 26, 2003 4:51 PM