-----,

I did some research on this particular email you forwarded on and I have a real problem with the content.  After researching SS on the web, I found that this is really a spam email, designed to be forwarded to clog up mail servers.  It is designed to appeal to people's emotions, promoting anger, and furthering the desire to share this misaligned content. 

 

I have copied the contents of a website I found (WITH LINKS INCLUDED TO THE GOVERNMENT'S WEBSITE!) which sorts through the various accusations about the Democratic Party and Social Security (remember it was the Democratic Party that initiated Social Security).  I think you can come to your own conclusions,

 

~Matthew

 

__________________________________________________________________

There is an Internet e-mail making the rounds of conservatives that reads like this:

Since many of us have paid into FICA for years and are now receiving a Social Security check every month -- and then finding that we are getting taxed on 85% of the money we paid to the federal government to "put away," you may be interested in the following:

Q: Which party took Social Security from an independent fund and put it in the general fund so that Congress could spend it?
A: It was Lyndon Johnson and the Democratic-controlled House and Senate.

Q: Which party put a tax on Social Security?
A: The Democratic Party.

Q: Which party increased the tax on Social Security?
A: The Democratic Party with Al Gore casting the deciding vote.

Q: Which party decided to give money to immigrants?
A: That's right, immigrants moved into this country and at 65 got SSI. The Democratic Party gave that to them although they never paid a dime into it.

Then, after doing all this, the Democrats turn around and tell you the Republicans want to take your Social Security.

This is nothing more than demagoguery. You can easily check the facts yourself. Every one of these charges can be refuted by checking the Social Security Administration’s web site. Hyperlinks to the sources are included in this story.

Q: Which party took Social Security from an independent fund and put it in the general fund so that Congress could spend it?
A: It was Lyndon Johnson and the Democratic-controlled House and Senate.

This is false. There are three separate Trust Funds among which the FICA payroll tax is distributed. There is an Old-Age & Survivors Insurance Trust Fund; a Disability Trust Fund; and a Medicare Hospital Insurance Trust Fund. The percentage of the payroll tax which goes to each Fund is fixed by law. Click here for details.

According to the Social Security Administration web site: Out of every dollar paid in Social Security and Medicare taxes: 69 cents goes to a trust fund that pays retirement and survivors benefits; 19 cents goes to a trust fund that pays Medicare hospital benefits; and 12 cents goes to a trust fund that pays disability benefits. Administrative expenses are generally less than 1 percent of all taxes paid.

Q: Which party put a tax on Social Security?
A: The Democratic Party.

In the early 1980s the Social Security program faced a serious financing crisis. President Ronald Reagan appointed a blue-ribbon panel, known as the Greenspan Commission, to study the financing issues and make recommendations for legislative changes. The final bill, signed into law in 1983, made numerous changes in the Social Security and Medicare programs, including the taxation of Social Security benefits; the first coverage of federal employees; raising the retirement age starting in 2000; and increasing the reserves in the Social Security Trust Funds. You can read about this at the Social Security Administration web site.

Some people who get Social Security benefits have to pay income taxes on them. This will apply to you only if you have other substantial income in addition to your benefits (for example, wages, self-employment, interest, dividends and other taxable income that you have to report on your tax return). No one pays taxes on more than 85 percent of his or her Social Security benefits and some pay on a smaller amount, based on IRS rules.  Here is the explanation from the Social Security Administration web site.

Q: Which party increased the tax on Social Security?
A: The Democratic Party with Al Gore casting the deciding vote.

This is misleading. The tax on Social Security did not increase. Upon taking office, the Clinton Administration inherited the largest budget deficit in American history, over $290 billion. On August 10, 1993, President Clinton signed the Revenue Reconciliation Act of 1993 (RRA 93). This law, intended to reduce the deficit through increasing revenues, affected almost every taxpayer. The Revenue Reconciliation Act raised the percentage of Social Security Benefits for certain beneficiaries that could be included in a tax payer’s adjusted gross income for tax calculation purposes. Click here for a description of Income Taxes on Social Security Benefits.

Q: Which party decided to give money to immigrants?
A: That's right, immigrants moved into this country and at 65 got SSI. The Democratic Party gave that to them although they never paid a dime into it.

The writer is not talking about the same Social Security Benefits that you and I expect to receive when we reach retirement age.

The SSI program (Supplemental Security Income) provides monthly income to people who are age 65 or older, or are blind or disabled, and have limited income and financial resources. Effective January 2003, the SSI payment for an eligible individual is $552 per month and $829 per month for an eligible couple. If you are married, and only one person is eligible, a portion of your spouse's income may be counted. In addition, your financial resources (savings and assets you own) cannot exceed $2,000 ($3,000 if married). You can be eligible for SSI even if you have never worked in employment covered under Social Security.

Generally, to be eligible for SSI, an individual also must be a resident of the United States and must be a citizen or a non-citizen lawfully admitted for permanent residence. Also, some non-citizens granted a special status by the Immigration and Naturalization Service may be eligible.

You can read the details about Supplemental Security Income at the Social Security Administration web site.

"Welfare reform" legislation, signed by President Clinton in August 1996, terminated SSI eligibility for most non-citizens (this provision was scaled-back in 1997 legislation). Here is a link to the requirements for non-citizens to receive Supplemental Security Income.

Then, after doing all this, the Democrats turn around and tell you the Republicans want to take your Social Security.

Since the writer’s entire premise upon which this e-mail propaganda was based has been irrefutably discredited, we could easily dismiss this as a non-issue. But in fact, this is where all Americans should unite on principal and demand accountability from our elected officials. Whether you are a Republican, Democrat, Independent, Libertarian, or Green, increasing budget deficits threaten the safety of Social Security. 

The American people must expect the President and Congress to operate on a balanced budget so that we quit putting off the difficult and politically unpopular choices of how we live as a country within our means.