Common Social Security Mistakes Could Lead Many Americans To Destitution, As the Social Security benefits for elderly citizens are many, but these days, Covid-19 has affected the lives of these people in the United States of America. As they are not paying attention to Social Security, there are chances, more than 40 percent of elderly American citizens would be going to live in poverty.
Corona Virus has impacted the growth of the economy to a greater extent all over the world, especially in the United States of America. This is why Social Security taxes are also getting influenced because people are not able to contribute to Social Security.
Common Social Security Mistakes Could Lead Many Americans To Destitution
According to the Social Security Administration, the number of Americans with age 65 years and older will rise from roughly 56 million today to more than 78 million by 2035, but would Social Security give Social Security benefits to this number of Americans in the future? It is completely unknown due to severe losses this year.
Based on the assessment of the CBPP, it is deduced that Social Security has an effective role in the life of American citizens, if they would not devote themselves to Social Security, they will be going to face too many hassles in the future, particularly during their retirement years. Without Social Security, how a number of million of Americans would slide into impoverishment?
It has also been seen that 40 percent estimation is according to the official federal poverty level of about 12,000 dollars for a single individual. However, this may be devaluing the actual level of poverty, provided that most economists say that the 12,000 dollar figure is idealistically low, while the reality is that it may be twice that amount, such as 24,000 dollars.
How poverty is increasing?
Meanwhile, it is also said that the figures for poverty could become disastrous in another manner, all because of this pandemic by Covid-19. It is very important to understand the actual reason behind this increase in the poverty line due to the coronavirus.
So, due to this pandemic, everything has been shut down and it is also the same for Social Security’s field offices. More than 1200 offices of Social Security have been shut down by the Social Security Administration six months ago, they have been moved online.
These 1200 offices serve more than 40 million people every year and have a great reach at regular times. If one field office closes for any reason on normal days, a lot of applications went down. So, can you imagine if 1200 offices get shut down, how disastrous it will be? And this is why a huge crowd of people has not had a great time while applying for Social Security benefits and other reasons as well.
Of course, there is nothing wrong with it because it is vital for the safety and health of employees who work in their field offices. Not only this, but the shutdown of these offices is also equally better for Social Security beneficiaries, who are unreasonably vulnerable to the Corona Virus since they are predominantly elderly and disabled.
On the other hand, due to this shutdown and moving online, a number of uncountable citizens are getting deprived of applying for their Social Security benefits. It is due to the reason that most American people are not familiar with the thing that they are qualified for Social Security benefits. While there are chances too, where some Americans are not able to handle their application procedure on their own because of little or no knowledge.
At this stage of the pandemic, they need support and courage the most, but unfortunately, it is not easy to get. So, the result is that they are dealing with such nuisances and moving to the suffering of poverty day by day. And of course, it is awful.
Now, the second wave has also started, which could harm the US economy the most. The GDP is plunging at a 32 percent pace and there is no work for Americans, they are becoming out of work. Hence, when Americans do not work, how they could manage to pay payroll taxes in terms of Social Security contributions? This is why and how Social Security is hindered because most of the finances come from payroll taxes and the circle moves.
A hot controversial topic
Due to all such things, Social Security has been turning into a hot topic for many months and becoming a part of many controversies in the country, especially among politicians. As we all know, it is the time of the election, and taking the support of such topics as Social Security will benefit politicians the most and affect their voting banks.
The reason is that these programs are designed to help American citizens in any manner, mainly beneficial for elderly citizens, retirees, widows, etc.
There is not even a single federal program other than Social Security, which is vital and has an immense influence on countless people on a regular basis. Why it is essential, read further, and you will understand completely:
- The benefits of Social Security are about 33 percent of all elderly income.
- Among elderly beneficiaries of Social Security, 21 percent of married couples and about 45 percent of single persons are dependent on Social Security for 90 percent of their income or maybe above.
- Among aged beneficiaries of Social Security, 50 percent of married couples and 70 percent of single individuals get 50 percent of their income or above from Social Security.
Therefore, it has been shown that Social Security is not only essential but even it is extremely essential. Millions of aged American citizens have been already living in poverty or some of them are about to enter the line of poverty, but they cannot afford to become poor. And if we talk about politicians, they are not careful in any sense.
It is the responsibility of the political power of the country to stabilize the loss by adopting some effective strategies so that not only Social Security would get benefited, but millions of American citizens would be able to receive Social Security benefits in the upcoming and future years.