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| | With the abject failure of the [[New Deal|First New Deal]] to create any net new private sector jobs, the Social Security Act was passed in 1935 and started operations in 1937. Since benefits required at least 5 years of payments, a special program was included in 1937 to help old people who already were retired and who had high rates of poverty. The program was never intended to be the sole means of support for retirees; in a 1939 message to Congress President Roosevelt said, | | With the abject failure of the [[New Deal|First New Deal]] to create any net new private sector jobs, the Social Security Act was passed in 1935 and started operations in 1937. Since benefits required at least 5 years of payments, a special program was included in 1937 to help old people who already were retired and who had high rates of poverty. The program was never intended to be the sole means of support for retirees; in a 1939 message to Congress President Roosevelt said, |
| | {{Cquote|We shall make the most orderly progress if we look upon Social Security as a development toward a goal rather than a finished product. We shall make the most lasting progress if we recognize that Social Security can furnish only a base upon which each one of our citizens may build his individual security through his own individual efforts.”<ref>A Message Transmitting to Congress a Report of the Social Security Board recommending certain improvements in the Law. January 16, 1939. Retrieved from the [http://www.ssa.gov/history/stool.html Historian’s Office of the Social Security Administration,] January 5, 2011. </ref>}} | | {{Cquote|We shall make the most orderly progress if we look upon Social Security as a development toward a goal rather than a finished product. We shall make the most lasting progress if we recognize that Social Security can furnish only a base upon which each one of our citizens may build his individual security through his own individual efforts.”<ref>A Message Transmitting to Congress a Report of the Social Security Board recommending certain improvements in the Law. January 16, 1939. Retrieved from the [http://www.ssa.gov/history/stool.html Historian’s Office of the Social Security Administration,] January 5, 2011. </ref>}} |
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| | + | The 2014 Social Security Trustees' Report says that there is an unfunded obligation of $13.4 trillion over the next 75 years based on the current taxes and benefits under the program. However, the trust fund balance has enough to pay these benefits through 2033.<ref>{{cite web|url=http://www.heritage.org/research/reports/2014/08/social-security-trustees-report-unfunded-liability-increased-11-trillion-and-projected-insolvency-in-2033|title=Social Security Trustees Report: Unfunded Liability Increased $1.1 Trillion and Projected Insolvency in 2033|work=Heritage Foundation|date=August 4, 2014|accessdate=March 1, 2016}}</ref> |
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| | ===President Franklin Roosevelt's proposal for an overwithholding slush fund=== | | ===President Franklin Roosevelt's proposal for an overwithholding slush fund=== |
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| | In 1993 President Clinton sought to increase taxes on [[Social Security]] benefits of the elderly and disabled.<ref>http://www.house.gov/house/Contract/seniorsd.txt</ref> The final version of the bill passed by the [[Democrat]]ically controlled Congress increased taxes on beneficiaries from the first 50% to 85%<ref>http://web.archive.org/web/20040408115747/www.ssa.gov/OACT/HOP/hopi.htm</ref> of benefits (or "annuity payments" as they were originally called). [[Vice President]] [[Al Gore]] cast the deciding tie-breaker vote in the Senate to make the tax increase law. The Clinton-Gore tax increase on Social Security benefits included 15% more of the social security benefit at the beneficiary's marginal rate. It collected some taxes on retired couple making as little as $22,000 per year.<ref>[http://books.google.com/books?id=vLg4iJR0J9kC&pg=PA16593&lpg=PA16593&dq=Vice+President+Gore+cast+the+tie-breaking+vote%2Bsocial+security&source=bl&ots=-ImIDX6fHa&sig=ttWVUNAIVsLQoEg1ZhCntHB_02Y&hl=en&ei=dobVTMr9HoOglAe0iuX9CA&sa=X&oi=book_result&ct=result&resnum=2&ved=0CBYQ6AEwAQ#v=onepage&q=Vice%20President%20Gore%20cast%20the%20tie-breaking%20vote%2Bsocial%20security&f=false Congressional Record, Comments by Rep. Christopher Cox,] July 27, 2000.</ref> | | In 1993 President Clinton sought to increase taxes on [[Social Security]] benefits of the elderly and disabled.<ref>http://www.house.gov/house/Contract/seniorsd.txt</ref> The final version of the bill passed by the [[Democrat]]ically controlled Congress increased taxes on beneficiaries from the first 50% to 85%<ref>http://web.archive.org/web/20040408115747/www.ssa.gov/OACT/HOP/hopi.htm</ref> of benefits (or "annuity payments" as they were originally called). [[Vice President]] [[Al Gore]] cast the deciding tie-breaker vote in the Senate to make the tax increase law. The Clinton-Gore tax increase on Social Security benefits included 15% more of the social security benefit at the beneficiary's marginal rate. It collected some taxes on retired couple making as little as $22,000 per year.<ref>[http://books.google.com/books?id=vLg4iJR0J9kC&pg=PA16593&lpg=PA16593&dq=Vice+President+Gore+cast+the+tie-breaking+vote%2Bsocial+security&source=bl&ots=-ImIDX6fHa&sig=ttWVUNAIVsLQoEg1ZhCntHB_02Y&hl=en&ei=dobVTMr9HoOglAe0iuX9CA&sa=X&oi=book_result&ct=result&resnum=2&ved=0CBYQ6AEwAQ#v=onepage&q=Vice%20President%20Gore%20cast%20the%20tie-breaking%20vote%2Bsocial%20security&f=false Congressional Record, Comments by Rep. Christopher Cox,] July 27, 2000.</ref> |
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| − | In 2009, conservatives attacked the Democrats health care reform program because it reneged on promises made to Medicare beneficiaries. | + | In 2009 conservatives attacked the Democrats health care reform program because it reneged on promises made to Medicare beneficiaries. |
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| − | The 2014 Social Security Trustees' Report says that there is an unfunded obligation of $13.4 trillion over the next 75 years based on the current taxes and benefits under the program. However, the trust fund balance has enough to pay these benefits through 2033.<ref>{{cite web|url=http://www.heritage.org/research/reports/2014/08/social-security-trustees-report-unfunded-liability-increased-11-trillion-and-projected-insolvency-in-2033|title=Social Security Trustees Report: Unfunded Liability Increased $1.1 Trillion and Projected Insolvency in 2033|work=Heritage Foundation|date=August 4, 2014|accessdate=March 1, 2016}}</ref>
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| | ===Social Security and African-Americans=== | | ===Social Security and African-Americans=== |