Social Security: Yesterday and Today

             Where is it now and where will it be in the future?
             There are many speculations about social security and it's future. It seems that many American's do not trust the system and believe that it will be nonexistent soon. In fact, one study showed that more people age 18 to 34 believe in UFOs (43%) than believe they will receive Social Security benefits (28%) (Cato Institute). Many important economists agree with this idea, but they all seem to have a different opinion on how long this will take and what we will do to prepare for it.
             On June 8, 1934, President Franklin D. Roosevelt, in a message to the Congress, announced his intention to provide a program for Social Security. Roosevelt knew there was a need to help the elderly prepare for retirement and knew that they would need benefits to help support them. Since the social security system was put in place in 1935, not many changes have been made except for the amount paid out. Benefits given through social security are determined by a benefit formula and depend on your average income over a fixed amount of years. Social Security has grown to become an essential facet of modern life. One in six Americans receives a Social Security benefit, and about 98 percent of all workers are in jobs covered by Social Security. Social Security benefits comprise about 5% of the nation's total economic output. From 1940, when slightly more than 222,000 people received monthly Social Security benefits, until today, when almost 45 million people receive such benefits, Social Security has grown steadily. And Social Security benefits provide income security not just to the elderly. Nearly 1 in 3 beneficiaries are not retirees (Social Security Online History Page).
             This security that older people anticipate receiving is now becoming a questionable expectation. According to the Social Security Reform Center, the social security system is expected to run a deficit within only 15 y...

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Social Security: Yesterday and Today. (1969, December 31). In MegaEssays.com. Retrieved 08:15, March 29, 2024, from https://www.megaessays.com/viewpaper/78848.html