How Did Social Security Come About?
Before 1935, the
year that Social Security began, everyone saved for their own retirement. Most workers
could not afford to retire. They worked as long as they were physically able and then
moved in with their kids or out to the poor farm.
The 1929 stock
market crash and Great Depression made millions realize that they needed some protection
from the ups and downs of the market. That’s why the same act that created Social
Security provided for retirement income, disability payments, and survivors benefits that
would be guaranteed.
Social Security is
"social" in that it is a universal insurance program run through our elected
government which produces a retirement income for everyone. And it is "secure"
in that the benefits are statutorily guaranteed, backed by the full faith of the federal
government and are there in times of need - old age, disability or death of a parent.
