| In order to address the routine concerns of many, | | | | per year. This means that irrespective of the higher |
| regarding the payment of bills post-retirement or | | | | limit of your actual earnings and consequently the |
| disability, a federal benefits program was designed in | | | | quantum of your contribution to the fund, your earnings |
| the United States, in 1935, known as the Social | | | | would entitle you to receive four credits. |
| Securities Act. The program known as the social | | | | The amount of the monthly social security check that |
| security program provides disability, retirement, | | | | you would receive after retirement would be |
| unemployment and survivor benefits and Medicare. | | | | calculated on the basis of your 35 highest |
| The benefits offered aim at providing financial support | | | | income-generating years. You need to apply, to start |
| to the citizens of the U.S., who fall under the categories | | | | receiving you social security benefits. The best time to |
| specified within the paradigms of the program. | | | | do this would be a few months before your actual |
| The Social Security Act of 1935 introduced the social | | | | retirement date. |
| security system in the US. The system caters to the | | | | The social security program attempts to pay the |
| financial needs of the retired citizens, who have | | | | retired citizens a pre-determined sum of money, to |
| contributed to the social security trust fund for at least | | | | cover their basic needs. It works as a kind of |
| 10 years. It also provides benefits to the survivors, in | | | | insurance for the retired people, helping them to cope |
| event of the employees death. The other benefits | | | | with financial difficulties, post-retirement. |
| offered cover disability and unemployment. | | | | It is a form of insurance that covers the surviving |
| It is essential for the person to make the regular | | | | spouse and children, in case of the employees death. If |
| required contribution to the Social Security Trust Funds | | | | the spouse is between 62 to 65 years, 70 to 99 |
| through the payroll taxes, to be eligible. By virtue of the | | | | percent of the benefits are payable. Dependent |
| provisions of the Federal Insurance Contributions Act | | | | parents and unmarried children under 18 years are |
| or FICA, every workers income is subject to a tax | | | | entitled to receive the benefits too. |
| payment of 12.4% on the first $94,200 earned during | | | | Disability that prevents employment opportunity is also |
| the year. Half of this amount or 6.2% is paid by the | | | | considered for benefits under the social security |
| employer, while the other 6.2% is deducted from the | | | | system. Physical and mental disabilities are also |
| salary of the employee. The amount is given to the | | | | covered and the payment starts five months after |
| government. Self-employed people are responsible for | | | | proving the disability to the authorities. |
| paying the full 12.4%. This amount is used fund the | | | | Under the social security system, unemployment |
| social security system. | | | | benefits are available to those whose unemployment |
| The system has been designed to benefit those who | | | | is due to circumstances beyond their control. The |
| make the necessary contributions for a period of ten | | | | program is designed to provide financial relief to the |
| years. There is a credit system incorporated in the | | | | citizens of the U.S. at crucial times. |
| scheme and you can earn a maximum of four credits | | | | |