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Social Security Column
Your Social Security Tax Supports Millions
By Phil Walton, Social
Security Manager in Toledo, OH
Guest Column
You are making
America stronger through Social Security. Chances are,
people you know and love benefit in some way from this
social safety net. Retirees, Wounded Warriors, the disabled,
and people who are chronically ill rely on Social Security
for monthly benefits. The Social Security taxes you pay are
helping millions of Americans — and financially securing
your today and tomorrow.
By law, employers must withhold Social Security taxes from
workers’ paychecks. While usually referred to as “Social
Security taxes” on an employee’s pay statement, sometimes
the deduction is labeled as “FICA.” This stands for Federal
Insurance Contributions Act, a reference to the original
Social Security Act. In some cases, you will see “OASDI,”
which stands for Old Age Survivors Disability Insurance, the
official name for the Social Security Insurance program.
The taxes you pay now mean a lifetime of protection — for a
comfortable retirement in your senior years or in the event
of disability. And when you die, your family (or future
family) may be able to receive survivors benefits based on
your work as well. Social Security is fully funded through
2033. At that point, we’ll be able to fund retirement
benefits at 79 percent unless changes are made to the law.
Social Security has evolved to meet the needs of a changing
population — and you can count on Social security in the
future.
If you’re a long way from retirement, you may have a tough
time seeing the value of benefit payments that could be many
decades in the future. But keep in mind that the Social
Security taxes you’re paying can provide valuable disability
or survivors benefits in the event the unexpected happens.
Studies show that of today’s 20-year-olds, about one in four
will become disabled, and about one in eight will die,
before reaching retirement.
Check out our webinar, "Social Security 101: What's in it
for me?" The webinar explains what you need to know about
Social Security. You can find it at
www.socialsecurity.gov/multimedia/webinars/social_security_101.html.
If you’d like to learn a little more about Social Security
and exactly what you’re earning for yourself by paying
Social Security taxes, take a look at our online booklet,
How You Earn Credits, at
www.socialsecurity.gov/pubs/10072.html.You can also
learn more at
www.socialsecurity.gov. |
