Finding Value—and my Social Security—in light of Budget CutsReading Time: 2 Minutes
Last Updated: January 14, 2021
Every payday, you have Federal Insurance Contributions Act (FICA) and Self-Employed Contributions Act (SECA) taxes deducted from your paycheck. Nearly all of these contributions are used to pay Social Security benefits to more than 60 million retired, disabled, and widowed workers and their children, as well as to Medicare beneficiaries. A very small amount also helps pay for the work it takes to manage Social Security programs.
Providing Social Security services to the public is a big job. We have fewer than 64,000 employees in offices across the country handling millions of transactions yearly — taking applications, answering questions in person and on the phone, verifying benefit amounts, and reviewing appeals, among other things. The cost of doing these services is less than one penny out of each dollar paid in FICA and SECA taxes, which is a very good value.
Lawmakers in Congress decide each year how much money we can use to manage our programs and pay our staff. Because that hasn’t been settled yet, we’re operating under a continuing resolution (CR) with less funding than last year. This is not new for us. In fact, the amount we have to run our programs is 10 percent lower than it was in 2010, after adjusting for inflation. At the same time, the number of beneficiaries we serve has gone up by 13 percent. So, we have fewer resources to serve more people.
We made some difficult decisions because of these latest budget limits. During the past year, we began a hiring freeze that will reduce our staff to the lowest level since FY 2013. We use a lot less overtime now, which affects our ability to reduce critical backlogs. Over a million people are waiting for a hearing to see if they are eligible for disability benefits.
Today, we are taking another cost-saving step. We will mail fewer paper Social Security Statements. Paper Statements will only be sent to people age 60 and over, who are not getting benefits and don’t have a my Social Security account. This will bring down the costs of processing and mailing paper Statements by $11.3 million in FY 2017.
We know that our cutbacks will affect many of you, but we have no choice. We will continue to serve you and work for you as best we can. Congress has until April 28, 2017, to pass a spending bill for the full year or pass another CR. While we can’t predict our budget level for the rest of the fiscal year, we think there may be more bumps in our journey together. We’ll do our best to get through them so you will have a secure today and tomorrow.
Tags: FICA, my Social Security account, Social Security benefits, Social Security statementSee Comments
About the Author
Great and useful content, thank you for sharing with pest control
Great Content, So Thanks for sharing with oflox
Great Content, So thanks for sharing with https://www.oflox.com
Very Nice blog, thank you so much for sharing this. Thanks for Sharing valuable Contents here. Appfinz Technologies for World-Class Website Designing and SEO Services.
Website Designing Company in Delhi
SDAD Technology is here for you to give you each and every kind of digital marketing services in one place. Today Digital Marketing plays a vital role to increase the visitors and online reputation of the business website in every search engine. Hiring the Best Digital Marketing Company in India for your business is a great idea as we offer cheaper services as compared to other marketing company.
Nice blog, thank you so much for sharing this. Visit OGEN Infosystem for responsive website designing and SEO Services.
Website Designing Company in Delhi
really great topic and in breif explanation of social security which perform very important role in every individual life,we are very thankful to you that you are shairing these information to the public as this is related to public whether anyone is relate to this is directly or indirectly but we must know this.thanks:first copy mens watches online
Though they are not made by those brands, they are manufactured at small levels, and thus their cost is reasonable. The quality of the first copies is good, and you would go far with them. There would be some losses with the variety of these chronographs. Though, first copy watches are always considered as the best option to have when you cannot buy a branded timepiece.
You can buy first copy watches and first copy shoes
Best customer support
Excellent. one of the best articles I have every read. Having read this I believed it was extremely enlightening.
I appreciate you finding the time and effort to put this short article together.
First copy watches india
I once again find myself personally spending a lot of time both reading and commenting.
Having read this I believed it was extremely enlightening. I appreciate you finding the time and effort to put this short article together.
I once again find myself personally spending a lot of time both reading and commenting. But so what, it was still worth it!
Comments are closed.
Doug Walker, Deputy Commissioner, Communications
Deputy Commissioner, Office of Communications