If we make an investment, then we expect to have a return on that investment. Social Security is not wasteful federal spending. It is the most successful anti-poverty public investment policy enacted in U.S. history.
Rhetoric posits that the immediate future of Social Security seems as ugly as sequestration or the situation in Detroit, Mich. But Motown and the United States are both singing the same sad song. We need some R-E-S-P-E-C-T.
Many share the fear that Social Security is insolvent. However, Social Security insurance is solvent until 2033. We can increase protection of beneficiaries through adequately stabilized cost-of-living adjustments, also known as COLAs, without a harmfully chained-down Consumer Price Index to manage the onslaught of crises — substantial increases in prices, inflation and unemployment in addition to sequestration.
The National Academy of Social Insurance helps us understand the facts: A large majority of Americans across party lines and age groups want to preserve and strengthen the safety net. The cost for the retirement of baby boomers is affordable, and careful planning and funding indicate that it is mostly already paid for. Less than one penny of every dollar put into Social Security is spent on administrative costs while the rest is distributed to the 55 million beneficiaries. The average Social Security beneficiary receives approximately $14,760 per year.
We should end offshore tax havens. American corporations should return revenue and jobs to American shores. They should support the Corporate Tax Fairness Act, as introduced in both houses of Congress last month. This legislation would repatriate approximately $590 billion in federal revenue by 2024. It would allow our government to strengthen vital programs like Social Security, Medicare, Medicaid and services for American veterans.
Imagine the chagrin of an elderly, retired and bereaved widow who contributed hundreds of dollars each month into a system for 65 years to receive $30,000 per year in Social Security benefits. She also pays for Medicare. She needs knee surgery with overall costs reaching nearly $60,000. Her Social Security income pays for the first $1,100 of Medicare costs. The most recent COLAs enacted to her benefits only add about $9.00 per month, which may help purchase an extra two gallons of gas. It’s a measly adjustment that also raises the cost of her Medicare. She is my grandmother. She is 87 years old and lives in Michigan, which is home to many cities in a financial state of emergency. She says, “You can’t win here.” We deserve fair solutions. But, shameful cuts balance budgets on the backs of vulnerable Americans like her.
Social Security is an active participation game. Send emails to your elected officials. Help them understand why we must carefully invent dignified solutions without deceitful reforms. Tell them to use their power and privilege with integrity.
A version of this article was published in the Tuesday, March 5 print edition. Matthew W. Braman is a candidate for a master of social work degree in the Silver School of Social Work. Email him at [email protected].