Social Security & Retirement Issues
We can never insure one hundred percent of the population against one hundred percent of the hazards and vicissitudes of life, but we have tried to frame a law which will give some measure of protection to the average citizen and to his family...
President Franklin D. Roosevelt upon signing the SS Act in 1935.
The Social Security program ... represents our commitment as a society to the belief that workers should not live in dread that a disability, death, or old age could leave them or their families destitute.
- President Jimmy Carter, December 20, 1977
[This law] assures the elderly that America will always keep the promises made in troubled times a half century ago ... [The Social Security Amendments of 1983 are] a monument to the spirit of compassion and commitment that unites us as a people.
- President Ronald Reagan, April 20, 1983.
For more information: AAUW Fact Sheets and Position Papers on Affirmative Action, Athletics, Education, Managed Care Reform, Reproductive Rights, and Social Security Reform.
North Country Matters: Andrea Montgomery, Director of the St. Lawrence Office of the Aging (Oct. 31, 2014)
Updated: April 14, 2015
- Half of Americans will see their standard of living fall in retirement - About half of American households will not be able to maintain their current standard of living in retirement, according to analysis of Federal Reserve data by the Center for Retirement Research. This means standard of living tradeoffs that could extend to choosing between buying medicine or food. The boomer generation will also receive a lower replacement rate because of changes to Social Security than current retirees, and future retirees will need to stretch their retirement income longer than previous generations.
- What America will look like in 2050 - A big increase in the number of elderly Americans, surging to become nearly the most populous segment of society. One is that Americans have been living longer, meaning that the demarcation of 65 as "old" is more distant from the average life expectancy. Another is that today's so-called Millennials are 2050's 65-plussers. (The most common age in America last year was 22.)
- Older unemployed workers settle for less - A study by the Washington-based association found 48 percent of people between 45 and 70 years old who lost their job in the last five years and have found a new one are making less than they were. Most say they're getting paid less and working fewer hours. The study also says the longer older workers are unemployed, the more likely they will earn less, with 59 percent of the re-employed who suffered a long-term spell of unemployment earning less in their current job, compared to 41 percent who had been short-term unemployed.
- Why putting off retirement savings until you make more money is a big mistake - People who start early can get away with saving a tiny portion of their pay and still have a decent chance at having enough money in retirement (in other words, their money won't run out before they die). But those who put it off need to save dramatically more to catch up.
- In Vote to Expand Social Security, 42 Democratic Senators Vote Yes While Every Republican Votes No - Advocates for expanding Social Security have said that payments today are not enough for the roughly 20 million retirees who receive more than half of their monthly income from Social Security benefits. They have proposed lifting the income tax cap as the simplest and fairest way to expand near-term payments and to build up long-term reserves.
- Women Academics Lack Confidence in Financial Planning - About a third (32 percent) of women professors, administrators and other staff say they lack confidence when it comes to financial planning for retirement, compared to 19 percent of men working in higher education, says a new report from Fidelity Investments.
- The U.S. just barely cracks the top 20 countries when it comes to retirement security - Want more retirement security? It might be time to move to Switzerland. The United States ranked 19th in the world for retirement security, according to an annual ranking of 150 countries by Natixis Global Asset Management. It's held that spot for three years. This year, it is ahead of Slovenia and just behind France.
- How growing income inequality is hurting Social Security - Here's another reason to be concerned about income inequality: it poses a direct threat to the already shaky fiscal health of Social Security, according to a report by the Center for American Progress.
- Claim to fame: Social Security's first recipient - Ludlow, VT: Seventy-five years ago, the government cut 65-year-old Ida May Fuller a check. It was numbered 00-000-001 - the first Social Security payout. Today, even as its future lies in financial uncertainty, many consider Social Security one of government's biggest successes.
- President Obama's 2016 Budget Is Relatively Good on Social Security - The president proposes to move tax revenue from the Social Security retirement fund to the Social Security disability fund, which would otherwise not be able to pay full benefits towards the end of 2016. And, he has dropped his proposal for a reduction in benefits through a chained CPI.
- There's A Gender Pay Gap At Every Age, And It Only Gets Worse As Workers Get Older - A recent Wells Fargo note looks at the gender wage gap broken down by age bracket. There are two things going on here: first, there's a wage gap no matter what the age. Women, even in high school, even after graduating from college, at 16 and 26 and 36, make less than their male peers. But when you look at all workers over 25, the gap increases - women of all ages make only 80% of what their male peers make.
- MEDICARE PATIENTS COULD SEE BETTER CARE - The Obama administration Monday announced a goal of accelerating changes to Medicare so that within four years, half the program's traditional spending will go to doctors, hospitals and other providers that coordinate their
patient care, stressing quality and frugality.
- Medicare at 50: Moving Forward - In the second part of their report in the New England Journal of Medicine on Medicare's past, present, and future, The Commonwealth Fund's David Blumenthal, M.D., and Stuart Guterman, and Karen Davis of the Johns Hopkins University Lipitz Center for Integrated Healthcare examine the program's challenges and weigh the options for both incremental and comprehensive reform. The authors review the pros and cons of new methods for rewarding providers that improve quality and lower costs, from value-based purchasing to bundled payment. They also discuss the potential of "premium support"-advocated by those who favor a market-based approach-and proposals to greatly simplify Medicare and incentivize consumers to choose high-value providers.
- Medicare at 50-Origins and Evolution - Since 1965, Medicare has provided millions of older and disabled Americans with guaranteed access to affordable health care. The broad popularity of the program, however, belies the intensely ideological struggle that preceded its creation and that continues in the debate over its future. In the first report of a two-part series published in the New England Journal of Medicine, David Blumenthal, M.D., Karen Davis, and Stuart Guterman trace the origins of Medicare and discuss its accomplishments, the changes it has undergone, and the challenges that remain.
- Expanding Social Security Is the Cheapest Way to Bring More Security to America's Retirees - There are many ways to spread the cost of better benefits. How should the costs of an expanded Social Security be shared without unduly burdening anyone? There are numerous options, all quite affordable, reasonable, good policy, and fair.
- Report: NY taxes are 10th worst for retirees - Kiplinger, which puts out personal finance magazines and newsletters is out with a ranking of retiree-unfriendly or friendly states, based on their tax burdens and New York is 10th worst nationally. Kiplinger does note that New York State doesn't impose a sales tax on items such as food and drugs and portions of private pensions are tax exempt as the entirety of public sector pensions.
- Where America's Social Security benefits go, in four maps - Most Social Security recipients - including retired or disabled workers, plus their spouses and children, and in some cases their parents - receive benefits through the Old-Age, Survivors and Disability (OASDI) program.
- The massive retirement gap for CEOs versus workers - When it comes to how income inequality can impact retirement, one has to look no further than the CEO suite. The country's shift to 401(k)s puts the onus on workers themselves to contribute money to their retirements. In an October survey from investment firm BlackRock, many respondents said they were unable to set aside retirement savings because of low earnings, high living costs and unplanned expenses. On average, Americans have saved only about $58,000 for their retirements, BlackRock found.
- Stop the False War of Words on Seniors Who Need Social Security - The country faces a major retirement security crisis. In other words, nearly half are either already unable to meet some basic needs such as food, clothing, and shelter, or are one serious economic setback away from not being able to do so. The percentage of women in this category of economic vulnerability is even higher. More than one out of two-52.6 percent-are poor, or economically vulnerable and at risk. Despite the stereotype of wealthy seniors, the economic security of even those seniors who do not fall into the various categories of economic vulnerability is not assured.
- 5 Reasons Why Social Security Matters for Women's Economic Security - The most recent Census Bureau data show that the average woman working full time, year round earns 78 cents for every $1 earned by their male counterparts. Because the gender wage gap can lead to an estimated loss of more than $400,000 over the course of a 40-year career period, and because women tend to outlive their male counterparts, women are more susceptible to risks that often create economic insecurity in old age.
- Social Security continuing to pursue claims against family members for old debts - The Social Security Administration, which announced in April that it would stop trying to collect debts from the children of people who were allegedly overpaid benefits decades ago, has continued to demand such payments and now defends that practice in court documents.
- Congressional leaders hammer out deal to allow pension plans to cut retiree benefits - A bipartisan group of congressional leaders reached a deal Tuesday evening that would for the first time allow the benefits of current retirees to be severely cut, part of an effort to save some of the nation's most distressed pension plans. The measure, attached to a massive $1.01 trillion spending bill, would alter 40 years of federal law and could affect millions of workers, many of them part of a shrinking corps of middle-income employees in businesses such as trucking, construction and supermarkets.
- Retirement's changing expectations - Studies show that what people expect regarding retirement doesn't often match what really happens. To that point, the Employee Benefit Research Institute has just issued a report about the gap between expected and actual retirement. Clearly, many workers are overly optimistic about how long they will be able to keep working compared to the reality reported by those who have already retired, notes Sudipto Banerjee, EBRI research associate and author of the report.
- Social Security advocates fear more cuts in staff and service - From fiscal year 2011 through 2013, the Social Security Administration received $2.7 billion less than Obama requested, followed by a small increase in 2014, according to a Senate Special Committee on Aging report. "The three previous years of low funding, combined with a wave of retirements and a hiring freeze that has been in place since 2010, led to a reduction in staffing throughout SSA's operations," the report said.
- Bracing for the Falls of an Aging Nation - As the population ages and people live longer in bad shape, the number of older Americans who fall and suffer serious, even fatal, injuries is soaring. So the retirement communities, assisted living facilities and nursing homes where millions of Americans live are trying to balance safety and their residents' desire to live as they choose.
- 10 Worst States in America for Retirement Living - Location can play a key role in your retirement planning, as some states are simply better suited to offer desirable benefits to retirees. No. 8. (tie) New York with Maryland & Georgia - New York along with two other states tied for eighth place. While some might assume New York suffers from high crime rates, the state actually has the lowest rate of property crime per capita in the nation. Nonetheless, the climate ranks poorly, and economic factors such as high cost of living and high property taxes make it less than ideal for retirement.
- Is Retirement Just a Pipe Dream for the Middle Class? -A new report finds that an alarming amount of Americans are not placing any money aside for their so-called golden years, and the situation actually worsens as they near retirement age.
Retirement funds are in short supply. According to the fifth annual Wells Fargo Middle-Class Retirement study, 34% of middle-class Americans are not currently contributing anything to a 401(k), individual retirement account (IRA), or other retirement savings vehicle. Furthermore, 31% of all respondents say they will not have enough money to "survive" on in retirement, and 19% have zero retirement savings.
- 'Eleanor's Hope' Puts Retirement Gap into Races - The Washington-based National Committee to Preserve Social Security and Medicare launched a national initiative Oct. 9 to create grassroots support for ending the gender gap in retirement benefits to decrease the nearly 11 percent poverty rate among senior women, which is 50 percent higher than that of male retirees.Called "Eleanor's Hope"--in honor of first lady Eleanor Roosevelt who championed passage of the Social Security Act in 1935--the initiative proposes sweeping changes to modernize the system to reflect women's contributions as breadwinners as well as family caregivers.
- The Pay Gap Haunts Women Into Old Age - American women face a huge retirement savings gap compared to men, and taking time off work to care for an elderly family member or a young child is one reason for that. Women make up about two-thirds of unpaid family caregivers, and they are more likely to take lower paying jobs, work part-time, or not work at all as a result. That will earn them lower Social Security benefits since those benefits are tied to how much a person earns.
- Nearly half of Americans haven't planned how much they need to retire - In taking the pulse of how people feel about retirement, a Wells Fargo/Gallup survey of investors found that nearly half fear they will outlive their savings.
- Your partner's plan for retirement should agree with yours
- The anti-retirement plan: Working 9-to-5 past 65 - As of September, 60 percent of workers age 65 and older had full-time jobs, up from about 55 percent in September of 2007, according to the Bureau of Labor Statistics. Over that time, the share of workers with part-time jobs fell to 40 percent from about 45 percent.
- Delaying taking Social Security pays off - If you start collecting at the early-retirement age of 62, you'll get 25 percent less each month than your "full retirement" benefit. If you postpone till 70, you'll get 32 percent more. If you can make it till 70, you'll get a check that's 76 percent higher than at 62.
- 80% of Hospitals in NY Face Medicare Reimbursement Penalties - The federal government wants to reduce the number of avoidable hospital readmissions. This is the third year Medicare will cut reimbursements to hospitals based on the number of patients who have to check back in with complications from lung ailments, heart failure, heart attack, pneumonia, or after a hip or knee replacement.
- HREF="http://www.watertowndailytimes.com/article/20141001/NATIONAL/141009963">Norway, Sweden rank highest in well-being for senior citizens in study - A global index reflecting economic security, health and other factors - and not deducting for cold winters - ranks Norway and Sweden with the highest level of well-being for older people. Of the 96 nations in the index, Afghanistan ranked last. The United States was eighth.
- How the pay gap leads to the retirement savings gap - The pay difference has an impact beyond the workplace. Financial advisers and analysts say the gap is one of the main reasons women are drastically behind men when it comes to retirement savings. A survey conducted earlier this year by the Transamerica Center for Retirement Studies found that women were more likely to say their top financial priorities were paying off debt and covering basic living expenses. More men said their top financial concern was paying for retirement.
- 9 reasons seniors could force a student loan debt solution - Seniors vote, and most successful politicians cater to seniors. So when an issue like the college student loan debt crisis is shown to hurt retirees, is action sure to follow? While the $1 trillion debt figure is cited repeatedly by media reports on the student loan debt crisis, it may not be the size of the problem that triggers substantial reform by the U.S. Department of Education or Congress. If the catalyst for changes comes instead from a politically powerful group, look to the seniors to exercise their clout.
- Women Are Providing Twice As Much Caregiving As Men - The final count revealed that daughters average 12.3 hours of care per month, while sons provide only 5.3. Even after adjusting for confounding factors (like a sibling's geographical distance from a parent), daughters still gave 5.4 more hours than their male counterparts.
- This Is What an Aging Population Looks Like - "Procter & Gamble Co. is getting back into a business it exited more than a decade ago-making products for adults suffering from incontinence-as it takes aim at the growing ranks of aging Americans. Over 3 million Americans are now turning 65 each year, according to the Pew Research Center."
- Paying off today's debts boosts your retirement tomorrow - Older Americans are still carrying mortgages, car loans and credit card debt at a time when they should be rid of these obligations. About 29 percent have mortgages and 27 percent carry credit card debt, the GAO reported. For those 65 and older, the overall debt ratio - total debt as a percentage of household assets - doubled from 1998 to 2010, rising to 13 percent from 6.4 percent.
- Senior (Citizen) Student Debt Rising - Older Americans are increasingly burdened by federal student loans -- and they struggle to repay the debt at much higher rates than their younger counterparts, a new government report finds.
- Almost Every Slice of American Society Wants To Strengthen Social Security Except Washington Insiders - Most Americans want better benefits, and they agree on how to pay for them. As strengthening Social Security becomes a higher profile issue in a handful of toss-up U.S. Senate races, a new poll of likely 2014 voters in those states and nationwide finds overwhelming support to boost benefits by taxing all Americans equally.
- Abuse of Older Women Overlooked and Underreported - A veteran women's rights activist, Patricia Brownell was still taken aback by the prevalence of abuse against older women she discovered during dozens of conversations she and her colleagues had with victims.They found that for every one official report of abuse made by agencies in New York State, there are 23 self-reports, with the abusers ranging from husbands, sons, daughters and other relatives to complete strangers.
- Retirement mistakes people make at every age - Whether you're 25 or 65, there's always something getting in the way of your long-term plan. People stumble with their retirement savings at all stages of life as competing interests - student loans, the cost of having children, health emergencies and home obligations - manage to get in the way. But the cost of putting off saving can be dire: Roughly 40 percent of baby boomers and Generation Xers risk running out of money in retirement, according to the Employee Benefit Research Institute.
- Social Security marks 79th birthday with declining service - Social Security has been around long enough to collect old age benefits. It marked "79 years of public service" Thursday. A new audit from the agency's inspector general's office documents deteriorating service resulting from cuts in staffing and office hours to a government program that all Americans eventually will use, assuming we live long enough.
- Student Debt Threatens the Safety Net for Elderly Americans - There is a growing number of Americans aged 50 and older who haven't finished paying their student loans. Student debt is growing faster for seniors than for any other age group, according to the latest data gathered by the Federal Reserve Bank of New York. Lingering student loan debt is part of a broader and, many elder-care lawyers say, devastating accumulation of debt among older Americans.
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