Updated: January 7, 2012
Social Security Works (SSW) has released a new guide showing the positions of the Republican candidates on Social Security. The guide indicates the candidates’ general friendliness toward the program and includes some of their statements on the subject.
- from AAUW's Washington Update for January 6, 2012.
In late December, Congress passed, and President Obama signed, a two-month extension of the payroll tax reduction. This extension continues the 2 percent reduction in payroll tax paid from an employee’s paycheck into the Social Security Trust Fund. Despite a bitter legislative battle, the president has indicated that he intends to make further extending the tax holiday a top priority for 2012. However, some observers have expressed concern that this reduction could threaten Social Security’s long-term solvency by making it vulnerable to political cuts and changes
AAUW is committed to protecting Social Security, and believes that reducing contributions to it is not a good way to help our economy. We need sound policies that promote job growth and address our deficit, but reducing Social Security contributions and endangering the program’s integrity does nothing to address these problems.
- from AAUW's Washington Update for January 6, 2012.
With some GOP presidential candidates and others targeting Social Security, the Economic Policy Institute found it prudent to publish an article debunking some of the ten most common myths or misunderstandings about Social Security. The fact sheet addresses confusion over the size of benefits, the strength of the trust fund, and the costs of the Social Security program.
AAUW believes that it is vital to women’s economic security to provide for the long-term solvency of Social Security and to maintain its current guaranteed benefits. The current Social Security system is more than just a retirement program; across the lifespan, it is one of the most successful anti-poverty programs in our nation’s history, providing benefits to many children, disabled workers, surviving spouses, and retirees. Older women especially benefit greatly from this program, since many depend on Social Security as their primary source of retirement income.
Take Action! Ask your senators to help strengthen Social Security by cosponsoring the Keeping Our Social Security Promises Act (S. 1558)!
- from AAUW's Washington Update for January 6, 2012.
Social Security recipients will see a 3.5 percent raise in their benefits this January – the first increase since 2009. An inflation measure adopted by Congress in the 1970s adjusts benefits to meet the increases in cost of living every year, but inflation was too low to cause an adjustment in 2010 and 2011. The projected 3.5 percent increase in January will amount to an average $455 of extra income a year.
AAUW is committed to strengthening retirement benefits and to protecting Social Security. The current Social Security system is more than just a retirement program; it is one of the most successful anti-poverty programs in our nation’s history, providing benefits to many children, disabled workers, surviving spouses, and retirees. More than half of older women would fall into poverty without Social Security benefits.
Take Action! Ask your senator to cosponsor the Keeping Our Social Security Promises Act (S. 1558), which makes all individual income over $250,000 subject to the Social Security payroll tax. This bill would help to protect the long-term solvency of Social Security.
- from AAUW's Washington Update for October 21, 2011.
The Commission to Modernize Social Security released a report last week that said Social Security must be modernized to meet the needs of an increasingly diverse and economically insecure workforce. The report, Plan for a New Future: The Impact of Social Security Reform on People of Color, argues that changes to Social Security must consider the impact on workers and families of color who are more vulnerable to economic instability and far less likely to have generational wealth than white families. The commission is made up of national policy experts representing African-American, Asian-American, Latino, and Native American communities. The report showed that the majority of babies born in this country are now from minority racial groups. If this trend continues, the overall U.S. population is expected to become “majority-minority” by 2042.
- from AAUW's Washington Update for October 21, 2011.
The U.S. Health and Human Services Department reports that seniors have saved more than $460 million on prescription drugs due to the Patient Protection and Affordable Care Act. As part of the health care reform law, the pharmaceutical industry agreed to offer brand-name prescription drugs previously not covered by Medicare Part D at a 50 percent discount. These savings coupled with savings from preventive health care measures account for the decrease in cost to seniors. Approximately 17 million seniors have received at least one preventive health care service without copay since the law’s passage. Experts expect the reform to further cut hospital and nursing home admissions, resulting in additional savings for the Medicare program.
AAUW believes that Medicare remains crucial to the social safety net. Although not perfect by any stretch, many of the changes included in health care reform will improve the collective health of the American people. AAUW will continue to monitor the process to ensure the health care needs of working women and their families.
- from AAUW's Washington Update for August 19, 2011.
The U.S. Department of Labor is moving forward with work aiming to expand oversight of retirement plans. The new rules would require financial advisers and brokers who provide retirement-plan investment advice to clients to adhere to a stricter standard (the so-called “fiduciary-duty standard”) than is currently in place. The DOL has argued that under the current regulations, financial advisers can give advice that is not in the client’s best interest but proves lucrative to advisers through high fees. While some House members and financial industry representatives spoke out against the proposed rules at a House hearing this week, the DOL has vowed to stay the course.
AAUW has advocated for rules that provide workers with access to sound, impartial investment advice. AAUW knows that implementation of this kind of regulation is a necessary component in the overall effort to achieve retirement security for the American workforce. AAUW is committed to improving retirement security for women.
- from AAUW's Washington Update for July 29, 2011.
AAUW released a statement in opposition to cuts to Social Security following media reports that the White House and congressional leaders from both parties might consider proposing cuts. AAUW Director of Public Policy and Government Relations Lisa Maatz said, “cuts to this vital program would be all pain, no gain for countless Americans, especially for older women, more than half of whom would fall into poverty without Social Security benefits.”
AAUW remains firm in its position supporting Social Security. The budget must not be balanced on the backs of those who can least afford it. AAUW urges policy makers to stand strong and keep Social Security cuts off the negotiating table.
Tell your members of Congress that slashing benefits is not an option.
- from AAUW's Washington Update for July 8, 2011.
AARP's policy chief John Rother sparked debate after he indicated last week that the organization would consider cuts to Social Security benefits. Later that same day, AARP reassured its constituents that the organization had not changed its policy regarding Social Security cuts, and, while it would consider reform to the system such as raising the retirement age, direct cuts to benefits were not on the table.
AAUW remains firm in its position supporting Social Security. Women are more likely to suffer financial insecurity later in life and AAUW believes that it is vital to women’s economic security to provide for the long-term solvency of Social Security and to maintain its current guaranteed benefits.
- from AAUW's Washington Update for June 24, 2011.
The American Association of University Women emphatically opposes slashing or means-testing benefits, raising the retirement age, toying with risky privatization schemes, or raiding the program in a misguided attempt to reduce the deficit. In AAUW's 2011-2013 Public Policy Program, we support strengthening Social Security while enacting common-sense reforms and improvements.
Social Security matters for women and girls. The program, which has over 70 years of successes, is one of our nation's best anti-poverty programs and provides critical benefits to millions children, disabled workers, surviving spouses, and retirees. Without Social Security, it is estimated that over half of elderly women would live in poverty -- after all, older women frequently don't have 401(k) accounts or sufficient retirement savings, have contended with a lifetime of pay inequities, and generally outlive their spouses and men in the workforce.
If you've been paying into the program, Social Security is there to help pay for necessary services and accommodations if you become disabled, just as it is for millions of Americans today. Social Security survivors' benefits are still the largest and most generous life insurance program in the country, insuring 98% of American children against the loss of a parent and caretaker. In short, Social Security is a national commitment through which we care for one another across generations.
- from AAUW's Action Network for June 22, 2011.
On Friday, the trustees for the Social Security and Medicare trust funds released their annual reports. According to Medicare trustees, Medicare costs will continue to grow from 3.6 percent of GDP in 2010 to 6.2 percent in 2085, prompting the trust fund to run out of money by 2024, five years sooner than projected a year ago. The Medicare trust fund only covers hospital care for seniors, while other services, like outpatient care and doctor visits, are funded by premiums and taxes and are not in danger of insolvency. The report on Social Security was more optimistic, with the trustees projecting increased levels of life expectancy for recipients compared to last year’s prediction. Additionally, the report found that Social Security can pay 100 percent of promised benefits until 2036, with payroll taxes coming into the system after 2036 able to cover 77 percent of benefits at the promised levels.
These findings will likely be used as ammunition in upcoming fights over the budget and entitlement programs, with many in Congress pushing for cuts to Social Security benefits and the conversion of Medicare into a voucher system. Although AAUW recognizes that these are tough budgetary times, the budget should not be balanced on the backs of seniors and the most vulnerable. AAUW is advocating for common sense reforms that update the program while guaranteeing solvency. Although these programs do need reform, they are not broken and must be protected.
- from AAUW's Washington Update for May 13, 2011.
On Wednesday, employees of Social Security offices across the country staged local protests in response to the extensive budget cuts proposed by the House of Representatives. Picket lines were formed in 31 states to stress the harmful effects the $1.7 billion cut in agency funding would have on Social Security recipients. The proposed legislation would likely cause furloughs of Social Security employees and significant delays in applications and claims processing for Social Security recipients.
AAUW believes that it is vital to women’s economic security to provide for the long-term solvency of Social Security and to maintain its current guaranteed benefits. The current Social Security system is more than just a retirement program; across the lifespan, it is one of the most successful anti-poverty programs in our nation’s history, providing benefits to many children, disabled workers, surviving spouses, and retirees. Older women especially benefit greatly from this program, since many depend on Social Security as their primary source of retirement income.
- from AAUW's Washington Update for March 4, 2011.