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Importance of social security administration

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Social security administration provides a plan of income to workers through which they can build a retirement plan for their selves. The social security administration is also responsible to protect social insurance for workers who are disabled and those who are a widow or breadwinners who have died.

Eighty-five years back a Social Security Act was signed by President Franklin Roosevelt on August 14, 1935. till then social security has become one of the most powerful, successful, and effective programs all around the nation. Social security office Dunn Ave is one of the largest social security offices located in the united states.


Social security is the right of every citizen. Through the act of social security assistance and welfare of every citizen is ensured. States protect every citizen especially the liable members of the society such as people who are unemployed, maternity payments, in case of accidents, disability, illness, at old age, or other circumstances of life. It is the responsibility of the state to provide the right to people on social security and better protection to them in form of cash or other forms. This helps individuals and liable families so that they can obtain necessities of life such as house, shelter, health care, sanitation, and water facilities, food, and basic need like education. It is the responsibility of the state to rightly run the social security system in a state. The system must be made sustainable and continue from generation to generation.

Facts about social security administration

Fact # 1

Social security provides retirement programs. It also provides life insurance and also insurance to those who are disabled to protect them.

Last year in June 2020, more than 64 million residents of the U.S. collected benefits from social security. About 4 to 5 percent of beneficiaries who are old residents of America or young residents whose parents have died collected social security disability insurance (SSDI) . also some of the workers in the U.S earned retirement benefits, SSDI policy, and life insurances. The payroll tax donations were also made to the workers.

  • According to research, it has been found that about 96 percent of workers who are working in jobs and aged between 20-49 years have received life insurance from social security
  • 89 percent of people who are aged between 21-64 years and work to live were insured in case of any disability

Fact #2:

Benefits that are provided by social security are progressive and guaranteed benefits that help people increase their cost of living.

The social security benefits are occupied through earnings on which payroll taxes are paid. If the earnings are higher such as $137,700, also the benefits will be higher. These benefits are progressive. The previous earnings of workers are represented higher proportions for those workers whose earnings are at lower levels. For example; for workers whose average earning is low (45 percent from average) and they are retiring at 65 age, their half previous earnings will be replaced. But those who have higher earnings have different benefits like having 160 percent income from average wages get one-quarter of previous earnings replaced. Now employees have started shifting their traditional pensions plans which are guaranteed on retirement phases towards defined-contribution policies like 401(k)(s), through which benefits to workers are paid on their contributions and return rate. Therefore, social security is the most beneficial source of income to the workers at the time they get retired.

Another benefit of social security is that its benefits kept on increasing as inflation increases. With this, people do not face poverty as their age increases. On the other hand, compared to private annuities and pensions, they are not adjustable or are partly adjustable at the time of inflation.

Fact #3:

Social security administration protects the retirement of every U.S resident, and its advantages are not just for eligible citizens.

in America, it is common that almost all the people who are employed enrolled in social security through payroll taxes and contributions. And almost every old citizen enjoys the benefits of social security. It is estimated by the social security administration that about 97 percent of elders aged between 60 to 89 years also receive social security benefits.

Some other important benefits are also provided by social security such as; protects retirement for employees working at all levels. It also boosts personal savings and private pensions because it is not eligible only for some workers. In other words, we can say that workers whose assets and income are below the average line are not deniable to its benefits. In contrast to private amenities and retirement, annual payouts are higher per dollar.

Fact # 4

The benefits of social security are modest

The benefits of social security are very limited but many people do not know about it. The average retirement benefit in 2020 from social security was about $1614 a month or $19170 annual year. The widows and disabled workers receive less.

The social security system provides additional benefits to people who are employed in different organizations but injured, support to the families whose breadwinner is disabled or at the retirement age. Orphans and widows are given special benefits. The benefits that are provided under social security must be insufficient amount. The receipts should receive a long time duration of benefits in assistance and family protection. To provide enough standard of living is the responsibility of the social security administration. The state needs to oversee the criteria of providing benefits to people. Social security should monitor the payroll taxes and contributions made by the workers so that they can get sufficient benefits like retirement benefits, insurances, and other benefits.


It is the right of every citizen to stay updated about the information on entitlements that revolve around the social security department. They must have the right to get access to participation in different social security schemes. States must ensure that every member of social security gets adequate benefits and contributions like special attention to disabled people, migrants, disaster-prone and people living in conflict or remote areas.

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