Social Security Table » government

Social Security Number: a Key to Identity Fraud

admin — Sat, 26 Dec 2009 23:34:16 +0000

Mary Jean Kuda asked:

Social Security has been one of the country’s most successful programs. It aids people from financial uncertainty especially in their trying times.

The program provides several protections such as:

•    progressive benefit formula

•    comprehensive insurance benefits that include disability

•    survivors and retirement benefits

•    spouses’ benefits

•    a cost of living adjustment

•    coverage until death

These protections will be placed at risk if fraud related claims continue to spoil Social Security.

Identity theft using the Social Security numbers (SSNs) is one of the common Social Security frauds that have been weakening the program.

History on the Use of Social Security Numbers

SSNs were first issued in 1936. The federal government assured the public that the use of the numbers would be restricted to Social Security programs such as calculating retirement benefits.

Today, however, SSN has become the de facto general identifier.

Government agencies and private businesses use SSNs even for a wide range of non-Social Security purposes. These purposes include:

•    employee files

•    medical records

•    health insurance accounts

•    credit and banking accounts,

•    university ID cards

•    utility accounts

The use of SSNs as both an identifier and an authenticator makes these numbers highly desirable to fraudulent acts, such as identity theft.

Social Security Fraud by Using SSN

Identity fraud is not all about money. The persistent use of SSNs as an identification mechanism gives the thieves many options.

Identity thieves seek SSNs so they can use these numbers to assume the identity of another person and commit fraud.

A thief can fraudulently use your SSN to assume your identity and gain access not only to your Social Security information but also to your bank accounts, credit accounts, utilities records, and other sources of personal information.

They can also establish new credit and bank accounts in your name, use your SSN for employment purposes or obtain medical care.

How to Prevent Identity Theft

Official efforts are under way to restrict use of SSNs. For instance, the Social Security Administration shortens SSNs on the benefit statements it mails each year.

While essential information can be acquired in credit card, bank accounts and other documents, SSNs are the most common way of getting personal information.

In California, for instance, a birth certificate (or many other types of documents) and a valid SSN are required to get driver’s license or identification card.

The following steps are essential in reducing identity theft using SSNs:

•    Protect your SSN. Provide it only when necessary such as in tax forms, employment records, most banking, stock and property transactions. The SSN is the key to your credit and banking accounts and is the prime target of thieves.

•    If business or establishment requests your SSN, ask if you can use another number instead.

•    Do not have your SSN printed on your checks. Do not let merchants write the SSN onto your checks because of the risk of fraud.

•    Do not utter your SSN aloud when you are in a public place. Speak softly or write it down on a piece of paper instead. Be sure to retrieve and shred that paper after use.

•    Check your Social Security Personal Earnings and Benefits Estimate Statement each year to check for fraud.

•    Do not carry your SSN card in your wallet except for emergencies.

•    Do not carry wallet cards that display the SSN such as insurance cards, except when needed to receive healthcare services.

Theft identity entails a lot of damage. If you are a victim of it, consult a Social Security fraud attorney to help you in your tedious legal battle ahead.

Caffeinated Content for WordPress

Social Security Helps Many Retirees Survive

admin — Mon, 16 Nov 2009 19:53:58 +0000

Eric Bayne asked:

The very first Social Security check was sent through the mail in 1940 even though President Roosevelt had signed the Social Security Act into law, 5 years earlier. Ever since, many American retirees have been grateful to receive that monthly financial safety net as they entered their retirement years. It’s difficult to believe that Social Security has been with us for sixty plus years.

In the original incarnation of the bill, Social Security benefits were only to be paid to the primary worker. But, before the bill went live, additional benefits for the spouse and children were added.

Quite a few folks erroneously think that the Social Security system is equivalent to an investment annuity, in which you send money to the government. They will then invest it and give you the resulting income in monthly payments for the rest of your life. In fact, however, the system is closer to a government welfare program. The collection of payroll taxes , which finances the Social Security program, is managed under the authorization of the Federal Insurance Contributions Act, better known as FICA. FICA is like the enforcement arm of the system. It ensures that every worker “contributes” his or her fair share to the government pool.

Each new generation of workers is responsible for taking care of the previous generation’s retirees. The amount of money you eventually get back from the government has only a tenuous relationship to the amount of money that was deducted from your check over the years. Since it’s inception, the system has collected from contributors and paid out over nine trillion dollars to recipients.

But the 1940 statute did not merely quit with allowing retirees to collect benefits. The law also consisted of the first incarnations of the welfare and unemployment systems which are still very much in evidence today.

Today, with millions of people losing their jobs every month, with our financial systems going into the toilet, and the housing crisis exploding around us – these safety nets are becoming more important than ever. Many retired women, especially, are just barely able to make ends meet with the help of Social Security. This is because, although gradually changing, women today are less likely than men to have additional sources of income. Partly due to working less years in the workforce because of child raising responsibilities. And partly because, even while in the work force, women typically are paid less than men.

But all families are helped by Social Security, even those that don’t need it to survive. In fact, according to independent studies, if Social Security was eliminated, many retired families would experience a drop in their living standards of 70% or more.

Many people fear that the system cannot sustain itself. In fact, there have been times in the past when the amount of money paid to recipients exceeded the amount of money collected via FICA. In these cases, Trust bonds were sold to make up the shortfall. Because of circumstances like these, Congress has occasionally upped the percentage of gross income that FICA can collect from salaries. Even these modifications, however, as the population ages and simultaneously live longer, may not be enough to sustain the system without drastic changes to the system.

The Social Security program is the largest government program of the country – constituting over twenty percent of the federal budget. As some politicians look at cutting the size and expenses of government, this program has an inviting target on its back. To many people, however, the cost of losing this critical system could ultimately be much more than the cost of running budget deficits.

Caffeinated Content for WordPress

Reducing Taxes On Social Security – Advantages And Disadvantages Of This Debatable Issue

admin — Sat, 07 Nov 2009 23:06:31 +0000

Abhishek Agarwal asked:

The Social Security Act of 1935 is among the primary acts the United States government is imposing. The acts main function is to give a lifetime reward to workers who have retired by the age of 65. That was the time of the Midst of Depression and where programs regarding social security were then based on. Due to the expansion of these programs, the programs are considered to be a leading federal program. The funds for these programs demand almost a quarter of the funds in the federal.

For in a long time now, the payments given by the social security programs were free of tax. This was the setup since for the most part of the grantees life, the grantees were paying for their social security record.

In this case, change has always been a part of our life. Just like for programs in Social Secuirty, it has changed over the years and are still subject to change. Presently, a part of the payments given by the programs is taxable. There was one period where the benefits were almost taxed by 50% and other brackets even reached 85% taxable rate. Various measures were tried and employed in reducing the tax rates of the payments, however majority of them were futile. Due to the changes, it won’t be a surprise if there would come a year where people would pay the benefits of their social security at a very high rate. This could be partly attributed to increasing population. One important setback that is situation reflects is that because of the increasing population, some time in the future many people would become dependent on the social security programs especially the benefits when the time for their retirements comes. The setback could probably be best solved if the tax rates could be lessened by the government. In this way, there’s a higher probability that people would gain more income.

Another possible solution that could be taken as of the moment is to increase the rates of the taxes imposed on present employees. This way could somehow ensure that while there is an increasing population, the entire system would not necessarily fall apart. Presently, employees pay taxes after earning $ 90,000 firstly. The employees are still taxed similarly, since in this way the government is able to increase the cap rather than having the employees pay a higher percentage. In this way, the burden in placed on the higher bracket employees rather than those middle class ones.

One concern arising presently is that the social security and its benefits are now put at risk. There are retirees now enjoying benefits that people in the future would not be able to perhaps enjoy. Currently, it is determined that employees now would be getting 25% less of the benefits that retirees are enjoying presently. However retired grantees are also on the lookout to make sure that even with the booming population, taxes would be reduced so that we could avoid having people living underneath the poverty line.

Those who are currently working and paying for their benefits could be assured that in the long run they would be able to enjoy the benefits they are saving for now with additional savings for that matter. The present situation demands that the government find ways to reduce the taxes so as to avoid the conflict that the benefits enjoyed by the retirees presently would not be the same as to the retirees in the future. The changes could happen given that bad case social security programs are now encountering, it would perhaps be possible for the government to eventually lessen the taxes on these benefits and programs.

Caffeinated Content for WordPress

Social Security Myths

admin — Sun, 11 Oct 2009 14:54:12 +0000

Shelley Godra asked:

Social Security Myths

Written by Shelley Godra

            Social Security was created to help finance US citizens after retirement. A portion of every worker’s paycheck assists in funding the Social Security reserve. Currently, these paycheck portions are creating a surplus in the reserve because there are more citizens employed than retired. Some spectators believe that the Social Security fund will not be available to younger US citizens once they decide to retire. Furthermore, some people believe this future crisis will be created by the retirement of the baby-boomers.

            These statements are not necessarily true. The Social Security reserve might run out by the time I am ready for retirement; however, the cause cannot entirely be blamed upon the baby-boomers. There are also several steps that can be taken in order for the Social Security reserve to still be used by my generation.

            Current statistics show that the Social Security fund, if nothing is changed, will dry up by 2040. There are several reasons for this dilemma, not just the baby-boomers retiring. The government is using the funds from Social Security to pay other federal expenditures and budgets. Thanks to medical advancements, US citizens are living longer and using more of the Social Security funds. People are putting more emphasis on their careers and putting marriage and family on hold. Since there are less children being born now, there will be less workers funding my Social Security once I am ready to retire. The final reason is that more companies are outsourcing their employment positions and less US citizens are offered jobs. Less offered jobs mean a smaller percentage funding the Social Security reserve.

            Like stated in the previous paragraph, the Social Security fund will run out if nothing is changed. The first option is to change how Social Security is looked at now and how it will be treated once the baby-boomer generation retires. Government could increase the age eligibility for retiring since people are living longer or could cease payments once a retiree reaches a certain age limit. The percentage from the paychecks currently contributing could be increased, therefore, increasing the funds. The government could be more lenient on its immigration restrictions; more immigrants would help to contribute more to the Social Security reserve.

            Changes in the government are not the only way to avoid this Social Security crisis. Proper arrangements are needed for my generation in order to retire without dependency on monthly Social Security payments. Citizens can make alternative retirement plans by investing in 401Ks and IRAs; this way people can take their own risks with their money. Unfortunately, obesity and unhealthy lifestyles might lower the longevity of some in my generation.

            In conclusion, there is a future problem concerning Social Security, however, the problem is not fully caused by the baby-boomer generation. Additionally, there are changes that can be made in order to avoid this problem. Personally, I believe that there will be no government changes and the Social Security will indeed run out by 2040. I have taken this burden onto myself by creating an alternative retirement plan. I will be in charge of my retirement.

Create a video blog…instantly.

How a Social Security Attorney Can Help With Your Claim

admin — Fri, 02 Oct 2009 11:56:32 +0000

Matt Berry asked:

Suffering from a disability is challenging enough without having to struggle through the complicated tangle of government legalese regarding Social Security disability benefits.

Among other conditions, if you suffer from bipolar disorder, ****** cancer, congestive heart failure, colitis, Crohn’s disease, COPD, depression, diabetes, heart disease, IBS, MS, Parkinson’s or schizophrenia, you may be eligible to receive disability benefits.

Disability benefits are available to people who fall into three categories: disabled, insured workers under age 65, people who have been disabled since childhood and a disabled widow or widower age 50-60. People with financial need and children may also qualify for benefits.

If you believe you might be entitled to Social Security disability benefits, consider contacting a Social Security disability attorney who specializes in the field. An attorney’s expertise in navigating the complications of Social Security disability benefits can go a long way towards making the process seem easier. People with attorneys win a lot more often than those that self-represent.

First Step:

The first step towards receiving Social Security disability benefits is establishing that you are, in fact, disabled. The Social Security Administration (SSA) calls their evaluation for disability the sequential evaluation process. Basically, this process entails the government considering the age, education, work history, severity of disability and functional capacity of the person requesting benefits.

They’ll also contact doctors who have treated the applicant, and perhaps request a consultative exam, with the applicant’s existing doctor or with another doctor. The general information will be verified by the local Social Security field office, and the evaluation of the disability is the responsibility of the state’s Disability Determination Services (DDS).

Disability Application Determination:

Determination of whether the applicant has a disability is made by a disability examiner and a medical or psychological consultant. There are 4 potential outcomes: the examiner might ask for more evidence of the disability, the examiner might refer the applicant to vocational rehab, the applicant might be found not disabled, or the applicant might be determined to be disabled.

If benefits are denied, there are a series of appeal processes.

First Appeal:

If the state determines that the applicant does not have a disability, don’t lose hope. This is where a lawyer specializing in disability law becomes even more important, as you’ll have to dispute the determination. The Social Security Disability appeal process will be very similar to the first process, but with a different two-person team making the final determination of disability. If the appeal results in a non-disabled determination, further appeals are also possible.

Second Appeal:

The second appeal of a disability benefits case is heard by an administrative law judge at the Hearing Office of the SSA’s Office of Disability Adjudication and Review. In this case, the administrative law judge usually conducts a hearing that allows the applicant’s attorney to present a case. Generally, the applicant has more evidence of the disability to present at this point, from previous or new medical sources. It’s important to work closely with your Social Security disability lawyer at this point.

Once it’s determined that the applicant does have a disability, the Social Security Administration computes the benefit amount and begins making payments. The disabled person might be able to receive benefits as quickly as the first full month after they applied.

It is important to remember during the application process that the sooner a lawyer becomes involved the sooner the process can be affected. Good luck with your disability case!

Caffeinated Content – Members-Only Content for WordPress

Am I Going to be Able to Retire? What to Expect From Social Security

admin — Wed, 16 Sep 2009 20:33:38 +0000

Luis R Cardenas asked:

The main idea of the social security program is people welfare. The United States created this program based in what other countries in Europe were doing for its citizens. This program has experimented many changes since its creation in 1935. When this program was signed by President Roosevelt, the idea was to provide retirement income for people 65 or older. Lately the government has made changes on the retirement age and social security income requirements. People in the US are starting to worry about the Social Security funds which they think are getting lower and lower with time. The main question could be: Is there going to be money left when you retire.

The average Social Security Check a retired person gets is around $1000.00 per month and usually does not replace more than 60% of the income they were making before retirement. The main factor that contributes to set a check figure is the average annual income the retired person was making while he/she was working. If that person was not able to save on a 401k program or any other retirement account before deciding to leave the workforce, he/she will have to considerably lower their living standards to be able to retire. But, it could get worst!

It is considered by many that if congress does not make a big injection of money to the social security funds soon, money will run out within the next 30 years. In the past few years the Social Security reforms have helped alleviate the problem but, currently, more money is been paid to retirees than what the administration is collecting. In other words, more money is going out than what is coming in. If the social security administration don’t get at least 6 trillion dollars soon, we could expect the fund to run out by the year 2041 and it considers the contribution of tax payers made during that period too. The Social security administration has considered lowering the social security payment in the future. Would you like that?

Without a doubt we need a Social Security reform soon. But we need to know where the money is going to come from. Congress can not make a good reform if it has not been studied as for its consequences. It is very difficult to consider a tax increase when the economy may not be able to support its impact. The normal citizen may be pushed to avoid paying what for others could be considered fair but some do not have. Our best option at this time could be to start preparing our selves by saving money for retirement through a retirement account or long term investments but not every person will be able to do it.

We need to make conscience that the Social Security fund may not be enough for everybody to retire unless something is done soon. Due to the actual situation some people are thinking about how to survive the moment but time does not stop and we have to get ready for the future. Our congress needs to start working on a reform and stop thinking about the next election or how to look good in the eyes of the voters. We could be sure that good ideas are welcomed by your congressman because if he/she can not come up with something we may be able to help. Think about it. We may be able to change things. The point is that we need a reform NOW!

Caffeinated Content

Social Security, Employment And Identity Theft

admin — Fri, 28 Aug 2009 12:30:43 +0000

Lisa Carey asked:

Identity thieves steal your personal information for many reasons. Among those are to obtain credit (money) using your credit information, but also medical benefits, Veteran’s benefits and employment.

Why would anyone steal your identity just to get a job? For many reasons, for example some people are in the United States illegally and do not have a social security number. Some people can not pass background checks, or have a criminal background that would keep them from getting jobs. Whatever the reason, Social Security Numbers are hot merchandise, if yours can be gotten, it can be sold.

“Misuse of another individual’s SSN is a violation of federal law and may lead to fines and/or imprisonment and disregarding the work authorization provisions printed on your Social Security card may be a violation of federal immigration law. Violations of applicable law regarding Social Security number fraud and misuse are serious crimes and will be prosecuted.” According to the Social Security Administration, The crime is considered a felony under federal and state laws and may result in fines and imprisonment.

In order to determine if there has been any use of your SSN to obtain employment, it is important to review your W-2 each year to determine that your social security benefits are being accurately reported and that the correct SSN is being used. Next, review your Social Security Statement issued to you each year. Check your statement against your W-2 to determine if there are any discrepancies. One way of determining if your SSN has been used illegally will be by monitoring the information on you benefits statement; which may state that benefits have been accessed or that the amount paid in maybe greater than the number reported on your W-2. To obtain a copy of your Statement of Benefits you may call the SSA toll-free at 1-800-772-1213.

Are you responsible for the taxes on the wages resulting from someone being illegally employed? Probably not, and the taxes are paid directly through the employer. As a result that money is just sitting in an account held by the federal government.

What about Social Security Benefits? What happens to the money paid in through two people employed and using the same social security number? It is estimated that approximately 420 billion dollars in federal funds are sitting in “limbo.” The government calls this the Earnings Suspense Fund. The money has been paid in, but there is no one to credit the funds or benefits to. This is because in many cases the user of your social security number is also using either their own name, or a fake name. The only people that benefit from this extra payment are the federal government as well as the imposter who is able to be employed. Each government agency (IRS and SSA) have a list of mis-matched numbers, that don’t belong to the names that are using them, so what are they doing about it?

Illegal use of your SSN is very difficult to find out about, unless you happen to apply for a job at the same place, or if they are also using it for theft of your credit information.

If after reviewing your benefits and wages information you are suspicious, take the next steps. Request a credit report to see if credit has also been obtained using your identity. If so, it is time to move quickly in order to rectify the errors in your employment, social security and credit history.

If you determine that your social security number has been compromised, you must contact the Social Security Administration and report it. Reports are made to the Social Security Administration (SSA) Office of the Inspector General. You may file a complaint online at www.socialsecurity.gov/oig, call toll-free: 1-800-269-0271, fax: 410-597-0118, or write: SSA Fraud Hotline, P.O. Box 17768, Baltimore, MD 21235.

Can you get a new social security number if you suspect that your number has been used? Maybe, but not always. The SSA will not issue a new number in the following circumstances: it was lost or stolen and no proof of damage has occurred, you are trying to avoid detection of poor credit or a criminal record, or you are trying to avoid some form of legal responsibility. However it is up to you to prove to them that your number is being used illegally, that you are not attempting to avoid credit collection or any other actions possibly pending against you.

Be proactive and try to protect and repair the damage yourself. File a report with the Social Security Administration, Federal Trade Commission and the three major credit agencies. However, without the issuance of a new Social Security Number, you are still at risk so you may want to consider using all the credit protection available to you such as placing fraud alerts on your credit report, credit freezes and consistent monitoring of your credit report. To report Identity Theft you may contact the Federal Trade Commission via telephone 1-877-438-4338.

You may find it necessary to consult with an attorney to protect your current and future benefit rights. Know your rights and stand up for them. Credit lenders or collection agents may attempt to threaten you or force you to pay for outstand debts incurred by use of your information. Consult with law enforcement officials, an attorney, the State’s Attorney General and consumer credit counseling organizations to determine what your rights and responsibilities are and you can assert them.

Caffeinated Content for WordPress

Fraud in Social Security

admin — Wed, 29 Jul 2009 16:07:39 +0000

Maribel Roncales asked:

Social Security Fraud refers to the act of dishonestly claiming of benefits. Due to the increasing number of fraudulent claims, the US government enacted a law that will protect individuals from these illicit conducts.

What constitutes Fraud under the Social Security Act?

The Social Security Act provides an outline for actions that are considered fraudulent. Some of those acts are the following:

• Knowingly and willfully makes or causes to be made any false statement or representation of material facts in the application for benefits under this title;

• Knowingly and willfully makes or causes to be made any false statement or representation of a material fact for use in determining any rights to the benefits;

• Having knowledge of any event affecting

o His or her right to the benefit

o The initial or continued right to the benefit of other individual in whose behalf he or she has applied for or is receiving benefit

o Having made an application to receive any of such benefits for the use and benefit of other and having receive it, knowingly and willfully converts the benefits for the use other than for what is intended

Information needed in filing Social Security Fraud

When planning to file a Fraud complaint, you need the following data:

• Name

• Address

• Social security number of the person you are reporting.

• Description of potential fraud incident

In cases where the Social Security number is not known, you need to secure his or her date of birth, age and the name of the parents. However, if you are reporting a concealed activity you need the name of the employer and its address and phone number.

How to report Social Security Fraud incident

The Social Security Administration takes seriously any report regarding Social Security Fraud. The Office of the Inspector General is the one who investigates incidents of Social Security Fraud. If you have any knowledge regarding these incidents, you can report it immediately by:

• Calling the Social Security Office hotline number

• Use the on line fraud reporting form

• Write to Social Security Office.

Yet, if you have been the actual victim of a fraudulent act, seeking legal assistance from a competent Social Security Fraud attorney is advisable. An attorney with sufficient in handing these cases can help you prosecute the law violators.

What is the Office of the Inspector General?

The Office of the Inspector General is the one directly responsible for meeting the statutory mission promoting economy, efficiency and effectiveness in the administration of Social Security programs. It is also responsible for preventing and detecting fraud, waste, abuse and mismanagement in such programs and operations.

OIG also searches and reports systematic weaknesses in SSA programs and operations and make recommendations for improvements and corrective actions.

Penalties for the violation of the Act

Any person found guilty for Social Security Fraud shall be:

• Fined under the United States Code

• Imprisoned for not more than five years or both

The federal court in sentencing the defendant may in addition to any other penalty order restitution.

When can there be restitution?

The court orders restitution in any of the following instances:

• The Commissioner of Social Security order payment that should not have been made

• An individual suffers financial loss due to defendant’s violation of this Act.

Our Los Angeles attorneys are proven experts in handling Social Security Fraud cases. For free evaluation of your case, log on to our website and contact our legal staff.

Caffeinated Content