SOCIAL SECURITY ADMINISTRATION BEGINS ANNUAL MAILINGS OF INDIVIDUALIZED SOCIAL SECURITY STATEMENTS TO
MILLIONS OF WORKING AMERICANS
October 1, 1999
Today, President Clinton Will Announce that the Social Security
Administration Will Begin Mailing Statements to 125 Million Workers Over
the Age of 25, Informing them of Their Estimated Future Benefits.
Starting today, the Social Security Administration will launch the
largest customized mailing ever undertaken by a federal agency when it
begins to mail individualized Social Security Statements to all workers
age 25 and older (roughly 125 million) who are not already receiving
monthly Social Security benefits.
Helping Workers with Financial Planning. The four-page statement is
designed to help workers with their financial planning by providing
estimates of retirement, disability and survivors benefits that they and
their family could be eligible to receive now and in the future.
Ensuring Accuracy. The statement will also provide workers with an
easy way to determine whether their earnings are accurately posted on
their Social Security records. This is an important feature since
Social Security benefits are based on an individual's career earnings
record. Most workers pay into the Social Security system throughout
their careers, and this will give them an opportunity to determine the
The Statements Will Help Workers Better Understand what Their Social
Security Benefits Mean to Them and Their Families. Workers are
encouraged to use this important personal document to help them better
plan their financial future. By using this tool, workers can better
predict their financial needs when they retire, or if they become
disabled or die and leave survivors. The Social Security Statements,
required under laws enacted in 1989 and 1990, include:
An estimate, under current law, of the monthly retirement benefit the
worker would receive at age 62, at full retirement age, and at age 70.
A projection, under current law, of the monthly disability benefit to
which the worker and his or her family would be entitled if he or she
An estimate, under current law, of the monthly benefit the worker's
family could receive if the worker dies.
A year-by-year display of the worker's earnings and the total Social
Security taxes paid by the worker and his or her employers over the
The Administration Will Promote Public Service Announcements to
Encourage Retirement Planning. Later this month, The Social Security
Administration will release two new televised PSAs encouraging Americans
to plan for their financial future using the new Social Security
Statement. The spots will be sent to approximately 1,100 television
stations across the country.
Social Security is a Foundation on Which to Build a More Secure
Financial Future. Social Security provides millions of retired people
with a rock-solid benefit they can rely upon. However, Social Security
is more than just a retirement program; it provides important benefits
to individuals and families if a worker dies or becomes disabled.
While retired workers received 62 percent of the total benefits paid
by Social Security in 1997, 38 percent of benefits paid provided income
for disabled workers, widows, widowers, spouses and children.
Social Security provides disability coverage for a worker with a
family, the equivalent to about a $300,000 disability policy.
Social Security survivors coverage protection is equivalent to a
$300,000 life insurance policy.
In addition, Social Security has reduced poverty for millions of
Americans and their families. Currently, the poverty rate for elderly
Americans is 10.5 percent. Without Social Security, the poverty rate
for elderly beneficiaries would be nearly 50 percent.