We realize it may be a stretch for ordinary people to want to keep up with the comings and goings of the Social Security Administration, but sometimes circumstances permit where someone does want to follow the latest news regarding the agency due to a possible retirement or disability interest. This blog is an ongoing piecemeal of recent stories that have involved Social Security. Some are tidbits and some are important things that should be known in the world of retirement or disability and others are just interesting stories and nothing more.
Student Loan Debt Can Lead To Reduction Of Benefits
A recent article in the Wall Street Journal reported a disturbing fact that many people who receive Social Security benefits have experienced a reduction of benefits for unpaid student loans. The newspaper reported that the government has collected close to $1.1 billion since 2001 from Social Security recipients for unpaid student loans. These actions by the government have led to thousands of retired and disabled people who now fall below the poverty line as a result of the garnishment. The Government Accountability Office (GAO) reported that the government garnished Social Security checks to the tune of $171 million in 2015.
“The result is that thousands of individuals subject to the offset are left with benefits below the poverty guideline,” the GAO said.
Offices Closed
Anyone who has ever tried to visit a Social Security office probably experienced long wait times for service, but the only thing worse than the hours you may spend there waiting in line is to show-up and realize the office is closed. Because Christmas and New Year’s Day fall on a Sunday, Social Security offices will be closed in observance of the holidays on both Monday, December 26 and Monday, January 2.
Fox Business Says Don’t Worry About Social Security
When discussing Social Security and any sort of media outlet related to Fox you have to be a bit wary, but a recent story on Fox Business insists that you don’t need to worry too much about Social Security in the future because there is a lot of misinformation spread about how Social Security is running out of money. The story went over three main topics:
- Social Security isn’t running out of money: This is true, at least for a while. Full Social Security benefits, with no changes made, will still be paid to beneficiaries up until 2034. This is when more money begins to be paid out than is coming in. Even if no changes are made about 79 percent of a person’s benefit will be paid and this can last as long as 2090. As you can see, the sky is not falling just yet.
- Social Security is popular: Of all the programs the government runs there is probably no more popular one that Social Security. A recent Pew Research Center poll conducted just this year found that 71 percent of registered voters believed there should be no reduction in Social Security benefits. The story contained a great quote from former President Dwight Eisenhower who said “should any political party attempt to abolish Social Security, unemployment insurance and eliminate labor laws and farm programs, you would not hear of that party again in our political history,” back in 1954.
- Solutions are out there: Finally it is correct that there are solutions to the problem it is just a matter of who is brave enough to support them. The best way is to increase payroll taxes, but don’t hold your breath on that happening anytime soon.
