History Of The Social Security Administration (SSA)

Introduction For the past 80 years many Americans have been relying on Social Security Retirement benefits to help pay for living expenses in old age. However, what exactly is Social Security? Why was Social Security created? How are Social Security benefits calculated? Should we rely on Social Security in old age? This research paper is a brief overview of the Social Security Administration (SSA) in an attempt to answer many of those questions and more.

The Bureaucratic Influence

President Franklin D. Roosevelt signed the original Social Security Act into law at 3:30 p.m. August 14, 1935 (Martin 2005). The Social Security Act of 1935 created an entirely new and independent agency called the Social Security Board (SSB). Although the Social

Although the Social Security Board effectively reorganized into the Social Security Administration, the change was little more than a name change as it still fell under the Federal Security Agency.

In 1953, President Eisenhower decided to join into the naming game by eliminating the Federal Security Agency and creating the Department of Health, Education and Welfare (HEW). Although the Federal Security Agency no longer existed, the Social Security Administration lived on under the newly formed Department of Health, Education and Welfare. The Department of Health, Education and Welfare would have an unusually long life span of 27 years.

In 1980, President Carter disbanded the Department of Health, Education and Welfare creating the Department of Health and Human Services (HHS) and the Department of Education. The Social Security Administration ended up falling under the control of the Department of Health and Human Services remaining there for 15 years. In 1994, President Clinton signed legislation, which in 1995 effectively made the Social Security Administration its own independent agency. Although the Social Security Administration is once again an independent agency, it is important to remember that we no longer call it the Social Security

Social Security at its core is a form of social insurance allowing governments to provide economic security for its citizens. The concept is simple yet as with any government run agency there are many faults and issues, which usually are related to organizational structure or funding. The difficulties facing the Social Security Administration are less surprising when we consider someone without an actual college degree who received the job after a presidential nomination is running it. However, we must also remember in the American job market it is not what you know that is important but instead whom you know.

Why do we need Social Security?

The economic hardships endured during the great depression directly resulted in the Social Security Act of 1935. Although the great depression was the catalyst for the Social Security Act of 1935 that is not the reason we need Social Security. Essentially Social Security is unneeded. However, moral obligations would dictate that those who can must care for those who cannot.

Calculating