Essay about Employee Benefits Required By Law

On August 14, 1935 in Austin, Texas, President Franklin D. Roosevelt inked his signature on the Social Security Act. It was originally implemented to resolve problems with unemployment, old age insurance, and public health and welfare. The Great Depression was the catalyst for the creation of the Social Security program, and the basic structure was very similar to Germany’s social insurance programs from the 1880s. Today, social security is mostly used for retired senior citizens starting at the age of 62. At 62, American citizens can begin to collect, but will only receive 35% of their monthly benefit due, rather than the maximum amount of 50% when they reach the full retirement age of 66. (cite) In addition, social security is dispersed to about 14 million disabled people under the age of 62, who can no longer work in the labor force for various reasons. The people who qualify as disabled are just a small percentage of those collecting compared to senior citizens, and are often not mentioned when social security issues are brought up because of their minute effects on social security distribution.

The Social Security system is perhaps the most successful government social insurance program in the nation 's history; and began with the Social Security Act in 1935. Social Security is a needed federal system that encourages income stability to millions of people across the United States. This is accomplished by giving a stable flow of income to replenish lost wages that occur as a result of disability, retirement, or death of a family member. There are about 59 million people in the U.S. that receive Social Security. Most of them are the required 65 years of age or older. Sadly about half of the 59 million people rely solely on Social Security to pay their bills and everyday necessities.

Social security was created in response to the Great Depression. The purpose of it is to protect aged and disabled persons from illness expenses, to give children a chance to grow up healthy and secure, keep families together, and to augment the material needs of individuals and families. The Social Security Act was first passed in 1935 and later amended in 1956 to provide disability benefits. Some programs included under the Social Security Act are: retirement insurance, survivor’s insurance, disability insurance, and some public assistance and welfare services. The Social Security program is meant to provide benefits,social security numbers, and generate its own finances.

The Social Security Act was created as a way to help keep families together. It helped disabled individuals against the expense of their illness. As well as it gave children and families a chance to live a healthy and secure life. The first two programs were the most essential at this time. The first program Title I, was a grant for old-age assistance. The second program that developed was Title II, which was a federal assistance for old-age, survivors and individuals with disabilities that included insurance benefits. The act includes a large list of programs that one might qualify for such as, retirement insurance, disability insurance, medical insurance for elderly, veterans benefits, unemployment insurance and much more. According

The Social Security program is based on contributions that workers pay into the system. While you are working, a portion of

Social Security is more than a retirement program because you may receive Social Security if you are disabled, a spouse or a child of a worker whom passed away, a dependent parent of someone whom passed away. Depending on the situation you may be eligible for Social Security at any age. Social Security in fact pays more benefits to children than any other government program (2015, June 1). The benefits of Social Security are retired worker, survivor benefits , disability and Medicare. Average monthly benefits for retired worker is $1,328, retired couple $2,176, disabled worker $1,165, disabled worker with a spouse and child $1,976, widow $1,274 and widow with two children $2,680. Medicare has several parts to it, hospital insurance helps pay for inpatient hospital care and certain follow ups (Part A). Part B helps pay for doctors’ services, outpatient hospital care and other medical services. Part C is Medicare advantage plans that are available in many areas, people with parts A

The passing of the Social Security Act generated a social insurance program that protected a multiplicity of people by supplying a monthly benefit to societal individuals age 65 and older who were no longer actively working; it was a means of income to individuals once they retired and was based on the person’s payroll tax contribution (Martin & Weaver, 2005). The longer amount of years a person was employed, the higher their benefit amount is set to be. Social weighing was a method they used to guarantee that the lower earning people receive a respectively greater income than their past earnings. (DeWitt, 2010). Not long after the Social Security Act was passed, legislation had considerable amounts of amendments to the original Social Security Act of 1935, and in 1939 the notion of economic security became family based; which it was then modified in order to supplement benefits to the spouse or young children of a retired worker, also providing welfare to a household who lost the loved one that was a covered worker (King & Cecil, 2006). In addition, the Social Security amendments of 1939 altered the benefits to be given to earlier participants and not focusing on giving benefits to future members in the Social Security program, also causing the arrangement of welfare to be provided to families rather than just an individual (DeWitt, 2007). Social Security being emphasized as an insurance rather than a savings, and carrying payroll tax money into the future would have

There are many types of Social Security benefits available for people in different situations and of all ages. There are Social Security Child’s Insurance Benefits that go to children with disabled or retired parents that are also taking Social Security benefits. Disabled widower’s insurance benefits are paid to disabled widows or widowers of a deceased worker. Divorced spouses of workers that are receiving benefits are eligible for Divorced Spouse Benefits. And the Supplemental Security Income is intended for blind or disabled applicants over the age of 65 (Benefits.gov, n.d.).

The social security act and related laws offer so many different programs to help those that qualify for the benefits. These programs include retirement insurance, survivors insurance, disability

With a federal yearly budget which exceeds six hundred and twelve billion dollars and makes up more than one-fifth of the Federal Budget, Social Security is the nation’s largest federal program (Moody, 2012). Often, people are prompted to think of Social Security as a retirement program; however it is far more than that, for it provides for more people than just those who are retired. It provides for the disabled, for spouses or child of worker who has died, and for dependent parent of a worker who has died. Hence, depending on an individual 's circumstances, one might be eligible for Social Security at any age (Young, 2010).

in the first year of initiation. The policy (Public Assistance Amendments) to get insured was liberalized by letting a worker get insured just with one quarter of coverage for every year after 1950. Under this amendment, the worker can get the benefits of disability, death or at the age of 65 years. There were increases in benefits for aged widows, widowers, and surviving parents from 75% to 82.5% of worker’s retirement benefit. In the first year, it affected 1,525,000 people by $105 million. The amendments established a period of disability where a person may file for eligibility

Originally, it only covered people working in the commerce and industry. If said person died, their husbands or wives (usually wives) and children could not collect their benefits. No matter how high or low of benefits were racked up. Over time, this started to change, by 1939, spouses and young children of those who have passed could receive uncollected benefits. 4 In 1940, the financing of social security changed mildly but it made a big difference. There was now a trust fund and a difference in size of the financial reserves so how the social security benefits were disbursed was handled much better. Retired workers could now receive their benefits much faster and the social security tax rate was postponed to 1942. Social security did not see any more big changes until 1950 when coverage was extended to numerous workers in industries that were previously not covered for Social Security Benefits. They continued to extend benefits to different kinds of workers for the next five years; by 1955 90% of workers were available to receive Social Security Benefits. Another big thing that happened in the 1950 was the new benefits that were extended to people with disability. At the beginning of the program, only people 50 years and older were able to collect benefits. Over the course of the 1950's though, the stringent laws were lessened and more people could rece--ive the disability

When people pay into social security eighty-five percent of each dollar is designated for and put into a trust fund for the use of retirees and their families, while the other fifteen percent goes into a trust fund that benefits people with disabilities and their families. The benefits that you would receive tend to reflect how much income that you have earned, so that if you have earned a higher income over the course of your life you may be eligible for more benefits and vice versa a person who earned lower income throughout their life. However in order to be eligible to qualify for social security you will need to into it. Most of the time people will need a total of forty credits to qualify and a credit is equivalent to $1,260 as of 2016 and you can only receive up to four credits a year. Therefore it takes about ten years for most people to qualify for social security (Social Security Administration, 2016). So, Social security has to be earned throughout a person life time in that they need to pay into it for a minimum of ten years as a retiree and less if you get disabled, and thus continuing the cycle of social security for the next

Although Social Security is often associated with retirees, benefits can be used to help a wide variety of people, regardless of age. Whether you have become disabled or are experiencing financial hardship, these benefits can provide you and your family with valuable aid to prevent hardship and improve quality of life. Below, the Social Security disability attorneys at Young, Reverman & Mazzei Co., L.P.A. discuss your available SSD options.

Supplemental social security income benefits (SSI) are disability benefits that are received based on the recipient’s financial need, not earnings history. In order to receive SSI, you must be 65 years of age or older, blind or disabled, earn little to no income and have few, if any, financial resources.