Essay about Social Security Reform

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Social Security Reform Nearly every American sees the letters FICA at least once a week. While rushing out of the office or place of employment and scurrying to the bank to cash a well-deserved paycheck, the average American scowls at the roughly 8% the "FICA tax" inevitably consumes. Yet, ask any American what they plan to use to enjoy life after they retire and the answer is generally uniform: "my social security checks". This answer has been repeated for over sixty-five years. Since President Franklin D. Roosevelt's New Deal, Americans have been receiving returned taxes for their retirement through a public policy known as the Old Age, Survivors, and Disability Insurance (OASDI), or better known as Social Security. Noted as…show more content…
Finally, the report will deliver an optimal legislative environment for the reconfiguration of what has been the most stable government program in America history. The History of Social Security Derived from Chancellor Otto Von Bismarck's Prussian Plan for German workers, President Franklin D. Roosevelt developed a plan to provide pensions for elderly Americans in 1935. After nearly six years of depression, the United States was ravaged with an unemployment rate of 25% and many others had lost everything they owned due to the collapse of the internal banking market. The future looked grim for most Americans because even those with jobs had barely any purchasing power due to enormous interest rates and high inflation. Riding high on his New Deal, President Roosevelt studied how Bismarck's plan had worked so well in Germany and sought to develop a similar plan for America citizens. On August 14, 1935, President Roosevelt succeeded in developing a national insurance plan and signed the Social Security Act into law (Sharp: 389). The Social Security Act of 1935 was set up to pay monthly benefits to retired workers starting at the age of sixty-five. However, before the Act went into effect in 1939, two new categories of recipients expanded the law. Dependants of the retiree were given benefits when the retiree passed away. Second, family
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