Under federal law on social security system, the poor, the unemployed and additionally the disabled are supplied assistance through the Supplemental Security Income (SSI). This benefit is funded by general tax revenues and provided as dollars to individuals that are eligible to help them meet the basic needs of theirs of food, clothing and shelter.
To be able to be qualified to receive SSI benefits, an individual must prove the following:
o That he’s age 65 or perhaps older, blind, or disabled
o That he legally resides within the 50 american states, the District of Columbia, Northern Mariana Islands or is the kid of military parents assigned to permanent responsibility outside of the US
o He is a student (certain limitations apply) temporarily abroad.
o That he has income and resources within certain limits
o The individual also needs to apply for the benefits.
Social security benefits are more than an insurance program. It gives and supplements revenue for retirees, the handicapped and the unemployed. Here are 10 important points to keep in mind about the social security income benefits as a good investment decision plan:
1. Social security acts as protection and insurance – Social security provides insurance coverage to more than 153 million workers and their benefits and families to close to 46 million people of all ages, like kids of the deceased, disabled and retired workers.
2. A retirement advantage is guaranteed for life and adjusted with inflation changes. – Social security advantages consistently be paid throughout the lifetime of retirees and are made to make adjustments as charges change.
3. Benefits are out there for another thirty nine yrs – Social security benefits are available for the next 39 years that can come from the taxes paid by current workers. Seventy-three percent of benefits will still be accessible even after 2041.
4. Protection and security against disability and death – Reforms proposal in the social security benefits include calculations for disability and death benefits.
5. Provides progressive protection for employees – The social security offers progressive benefits for low income workers. A benefit formula has been designed to favor those who have received little income throughout the careers of theirs.
6. Principal source of earnings for older Americans – The cultural security advantages is a source of income for more than 90 % of Americans aged 65 and older. The pension income of older people makes up about one third of beneficiaries who rely entirely on pension as the source of theirs of income.
7. Beneficial to women – The social security income benefits provide far more benefits to women than originally planned. Close to 24 million ladies, comprising fifty three % of beneficiaries currently receive social security benefits.
8. A source of vital earnings for minorities – Social security advantages provide a key tool of earnings for minorities like African Americans and Hispanics that are generally low earners. These lower-wage workers and their families get higher benefits in return.
9. Trust fund guarantees that social security advantages earn from expense – Trust fund property of the social protection agency are invested in the Treasury securities to make market based returns. In 2001, the trust fund assets expanded to 6.7 % and continue to grow until 2017. By 2010, the property are going to total roughly $3.3 trillion. This way, most cultural protection tax dollars are reserved solely paying benefits and administer the agency’s program.
10. Foundation of worker’s retirement security – The social protection was meant to provide important basic shelter for workers and their families during retirement. Savings and pension are the primary components of the retirement benefits program.