Social Policy Exam 2 (Mod 9/10 so far)

need to add mod 8

Social insurance

collectively funded program for workers and their dependents that provides economic resources at the conclusion of employment. Ex. social security. Covers almost every employed person in this country, all payments in the program are pooled together by citizens collectively.

Social security act

passed in 1935; permanently transformed social welfare system. Two parts: social insurance (long-term) and public assistance (short-term)

How does OASDI program work

the social security administration keeps track of contributions made by each worker and that persons employer. There are monthly benefits for retired and disabled workers, along with other benefits for individuals.

Incremental changes of Social Security

raising the tax rate, raising the retirement age, or decreasing benefits.

Aging U.S. population

fewer children are being born, between 2010 and 2030 the baby-boom generation turns 65 which is the largest age cohort in the US. Average life expectancy was 79, but reduced to 77 due to COVID.

Key programs for older adults

medicare- passed 30 years after SS act

Social security

Older Americans act (1965)- support, nutrition, preventive health care, elder rights and caregiver supports.

Supplemental Security Income for the Aged, Blind and Disabled (SSI)- changed old age assistance from state-level program to a federal program

Age Discrimination in Employment Act (1967)- protects people 40 and up from employment discrimination

Adult Protective Service (APS)

created by states and receive some funds through OAA; no federal statutes so each state differs.

How will we care for people as they age in our society? Who will do the caregiving?

Typical caregiver is a woman, 48 years old (providing more than 20 hours of weekly care to a relative; Family and Medical Leave Act (FMLA) covers caregivers of elders up to 12 weeks (leave is unpaid. Long-term care in nursing homes or assisted living is costly (Medicare does not cover all expenses. Financial assets are often depleted, then qualify for Medicaid

Medicare

part of SS tax employees and employers pay goes toward funding. When a person is eligible for SS benefits, also eligible for Medicare coverage.

Medicaid

health care program with emphasis as an anti-poverty program; varies from state to state; used heavily by elderly

How prepared are people for retirement?

among recent retirees, 70% did not plan seriously about retiring until less than two years before they retired (Employee Benefit Research Institute). It will not be enough if they just rely on social security.

retirement security

most people who reach retirement rely on social security, pensions, and private savings. Most workers have not calculated how much money they need to save for retirement. 30 % of Americans have not used 401k