The Social Security System, Essay Example

The social security program began with the Social Security Act of 1935. The program was originally entitled the Economic Security Act, yet the term “Social Security” was coined in America by the leader of an activist group known as the American Association for Social Security. Taxes were first collected on behalf of the program in January of 1937 and that same month saw the first one-time, lump-sum payments made. At its inception the Social Security program was promising. It continued to expand, and to add coverage for several different circumstances as well as increase benefit levels well into the 1950s. (“Social security history,” 2010)

The Social Security program we know today looks very different from what it began as. Since the act was signed by President Roosevelt the payroll taxes have continued to rise steadily. In the nineties the Social Securities Trustees Report stated that the system would begin to run deficits by the year 2012, and the trust funds would be completely exhausted by 2029. Over the next ten years the Social Security surplus of $100 billion annually will begin to shrink, until there is nothing left to compensate the people who have been paying into said system.  (“History of social,” 2010)

It is my contention that through careful planning and the implementation of specific programs, the Social Security system can be revitalized. The government would be obligated to make drastic changes by reducing spending as well as increasing taxes. Another option would be for the government to invest the money it currently collects into what is known as a Personal Retirement Account. These accounts could possibly give future retirees more control over managing their income so that they can build a comfortable living for themselves after they retire.(“Finding solutions,” 2010)

Works Cited

Social security history. (2010, August 12). Retrieved from http://www.ssa.gov/history/hfaq.html

History of social security. (2010, November 15). Retrieved from http://www.socialsecurityreform.org/history/index.cfm

Finding solutions. (2010, November 15). Retrieved from http://www.socialsecurityreform.org/solutions/index.cfm