The Impact Of Social Security On Disabled Persons And The...

The words Social Security have been heard by many whether it be from the news, grandparents, school, or personal experience. Social Security is a United States program that aims to help older or disabled persons and the families of older, disabled, and deceased persons (SSA, 2005). Franklin D. Roosevelt was the president who enacted the Social Security Act in 1935, however taxes were not collected until two years afterwards and periodic monthly benefits did not start up until 1940. Social Security was intended to be a retirement program when it was first passed into law in the year 1935. The reason that the program was first aimed to help older Americans is because of the worry that the post Great Depression era had for them. The program†¦show more content†¦Medicare taxes go into funds that then pay for the costs of Medicare related programs. Social Security does not work as a pay-as-you-go because the benefits you receive are not dependent on current receipts, but rather a formula (SSA, 2005). Although most people apply for these monthly benefits after retirement, Social Security is not meant to be a singular source of an income. In spite of the fact that Social Security was not designed to be the only source of income for retirees, this often the case due to a lack of personal savings. Social Security was created to force Americans to save money for retirement. Even though Social Security does provide financial aid to retirees, one should aim to have personal savings and investments in order to have a worry-free retirement. In fact, one can continue to work while receiving retirement benefits which can actually increase benefits. While it is typical to begin retirement at age 67, there is also an option to retire early at age 62. Retiring early at 62 would result in a decrease in the amount of the monthly benefit, however. Likewise, one can also choose to retire late leading to an increase in monthly benefit (SSA, 2005). Another group that is eligi ble obtain benefits from Social Security are families of deceased workers. A one-time payment may be available to one s family if eligible, this payment is comprised of $255. The surviving spouse may