The Social Security program is legislated by the federal Social Security Act and is designed to protect workers against loss of income caused by retirement, disability, or death. The Medicare program provides both medical and hospital insurance. Social Security is financed by taxes collected from both employers and employees. The Social Security tax is also known as the Federal Insurance Contributions Act (FICA). For the year 2003, both employers and employees contribute 6.2 percent of the first $87,000 earned for Social Security and 1.45 percent of all taxable earnings for Medicare.
Case Study: Social Security ‘No Match’ Letters
Most of the time, a discrepancy reported by a Social Security "no match" letter is the result of a clerical or technological error
occurring somewhere along the line and can be easily remedied.
Raises Not Keeping Pace With Cost of Living
Most pay raises for American workers are not covering the increase in cost of living. Meanwhile, most workers have no faith in the future of Social Security, according to a new survey.
