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.



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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.



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