Page images
PDF
EPUB
[graphic]
[blocks in formation]

Volume 43, Number 7

Note: Contents of this publication are not copyrighted; any items

may be reprinted, but citation of the Social Security Bulletin as the

source is requested.

OFFICE OF RESEARCH AND STATISTICS

John J. Carroll, Director

Social Security in Review

Interim Report of Pension Policy Commission

In an interim report, the President's Commission on Pension Policy has tentatively recommended that Congress give serious consideration to the creation of a national minimum pension system. Such a plan, to be funded at least in part by employers, would augment benefits payable under the social security program. Currently, only about half of nongovernment workers have this kind of dual protection.

In addition to proposing the pension plan, the panel recommended that:

• The age of eligibility for social security benefits be raised for future generations of workers.

• Social security coverage be mandated for Federal, State, and local government employees. The commission indicated, however, that such coverage would be more feasible if it were applied to new employees only.

• Social security benefits be taxed as income to the beneficiary. To offset the effect of such a change, the commission endorsed the exclusion from income taxes of social security contributions and the abolition of the earnings test.

• Husbands and wives of workers be given greater retirement-income protection. The commission recommended that pension benefits be taken into account in divorce settlements and that surviving spouses be entitled to inherit the pension benefits of the deceased worker.

The President's Commission on Pension Policy was established under an Executive Order to conduct a 2year study of the Nation's pension systems and the future course of national retirement-income policies. It is scheduled to make its final report by February 1981.

Program Operations

OASDI Benefits

At the end of March, the old-age, survivors, and disability insurance (OASDI) program was paying $9.1 billion in monthly cash benefits to 35.2 million beneficiaries. Both the amount of benefits and the number of beneficiaries decreased from the totals for the previous

month: the amount of benefits by $1.7 million and the
About 394,000
number of beneficiaries by 16,000.
monthly cash benefits were awarded under the OASDI
program in March. More than 339,000 of these awards
were immediately payable. These figures represent the
largest number of awards in force and in current-
payment status since May 1979.

In the OASI program, retired workers accounted for 63 percent of the number of beneficiaries and 70 percent of the total monthly benefits. In the DI program, 60 percent of the beneficiaries were disabled workers, and they received 83 percent of the total monthly benefits.

The average monthly benefit amount for each beneficiary group at the end of March did not differ significantly from the February figures. The March average was $295.33 for retired workers and $322.63 for disabled workers.

Lump-sum death payments in March amounted to $31.5 million, or $2.9 million less than the February figure. The number of deceased workers on whose earnings records the March payments were made was 124,000-a decrease of 11,000 from the total for the previous month.

SSI Payments

Federally administered payments. In March 1980, nearly 4,165,000 persons received federally administered supplemental security income (SSI) payments-2,500 fewer than in February. The number of disabled recipients rose by 1,900 to 2,219,700, and the aged caseload fell by 4,400 to 1,867,600. The number of blind persons on the rolls remained virtually unchanged at 77,600. Thirty-one of the 51 States reported declines in their overall SSI caseload. Caseload reductions were recorded for the aged in 45 States, for the blind in 19 States, and for the disabled in 18 States.

Payments in March totaled $610.8 million, down $833,000 from the February figure. Federal SSI payments of $463 million were down $364,000; State supplementation payments of $147.8 million represented a decline of $469,000.

State-administered supplementary payments. In January 1980, 257,700 persons received State-administered supplementary payments, a number slightly above the December figure. Eleven of the 25 reporting States

[blocks in formation]
[blocks in formation]

persons in residential-care homes by $5 during the month.

Assistance Payments

Aid to families with dependent children. In November 1979 the number of persons receiving payments under the aid to families with dependent children (AFDC) program rose to 10,315,000, about 2,400 more than the number of recipients in October. Though the number of recipients in the basic program decreased by 4,280 in the 1-month period, the caseload for the unemployed-parent segment rose by nearly 6,600.

Total AFDC payments for November declined to $957.6 million, about $2.8 million less than the amount reported a month earlier. The national average payment per family fell from $272.38 in October to $270.87 in November.

Twenty-six States added recipients to their basic rolls during November, and the recipient count was lower in 28 States. Eighteen of the 27 States participating in the unemployed-parent segment of the program reported an increase in the number of such recipients.

Emergency assistance. The emergency assistance programs, which provide temporary aid for critical needs to AFDC and other needy families with children, helped 37,809 families in November, 1,308 more than in October. The average payment per family was $208.75. Thirteen States reported aiding fewer families, and nine States reported helping more families than a month earlier.

General assistance. In November, general assistance-which is financed entirely by the States and localities-aided 842,973 persons. This figure was 12,161 higher than the number of recipients in October, despite the fact that Alabama and North Carolina did not report November data.

« PreviousContinue »