-
First Social Security type program in the world
Enacted by Chancellor Otto von Bismarck of Germany. It was created both to promote the well being of workers and the German economy, and as an alternative to some of the more radical socialist programs being promoted at the time.
*Not an exact date. The program was enacted sometime in 1889. -
Black Tuesday, Great Depression Begins
Whether the stock market crash was the cause or just a symptom of the Great Depression is debated, but it is generally considered the beginning. The Great Depression set the stage for the Social Security Act. -
Over Half the US Population Live in Urban Areas
Through most of human history, people lived their lives on the family farm, living off what they produced themselves. By 1930, 56% of the US population were living in larger cities and earning wages, a major shift in economic security.
*Not an exact date -
President Roosevelt Announces Intention to Create SS Program
In a message deliverd to Congress, the president announced his intention to create a program to improve economic security. Shortly thereafter, he created, by executive order, the Committee on Economic Security, who were instructed to study the situation and make recommendations for Congress. -
President Introduces CES Report to Congress
The report was issued for simultaneous consideration by the House and Senate, who each passed their own version of the initial bill. -
Social Security Act Signed Into Law
After reconciling initial differences, both Houses of Congress approved the act. The act included a social insurance program for retired workers, as well as provisions for general welfare. -
Social Security Application are Distributed
Because the Social Security Board didn't have necessary resources, they contracted with the US Postal Office to distribute and collect applications, as well as typing and delivering the new SS cards. Over 35 million cards were issued in 1936-37. -
Workers Begin Acquiring Credits and Payroll Taxes Begin
-
1939 Amendments
Amendments to the original act provided two new categories of benefits, dependent and survivors. This broadened the scope of the act considerably. The beginning of monthly payments was also moved forward from 1942 to 1940. -
Monthly Benefit Payments Begin
Prior to this, any payments due were delivered as lump sum refunds. The average payment from 1937 to 1940 was $58.06. -
1950 Amendments
For the first time, retirement benefits were raised. These amendments also placed the program on track to cover nearly everyone in the nation, as it does today. In 1950, only about 50% of workers were covered. -
Disability Act
The Social Security Act was amended to provide benefits to disabled workers between 50-65 years old, as well as disabled adult children. Congress expanded this program over the following years to include dependents of disabled persons, and eventually coverage for disabled workers of any age. -
Medicare Coverage Created
Medicare offered health coverage to social security beneficiaries. Initially, this only applied to those 65 and over, but it was eventually expanded to all recipients. -
Automatic Adjustments Added
Up to this point, benefits could only be raised by a special act of Congress. COLAs, or Cost Of Living Adjustments, were set as automatic, annual features in 1972, to reduce the effect of inflation. Wage-indexing was also introduced, to ensure that benefits keep up with a worker's standard of living.
*Not an exact date -
COLA Act Officially Begins
Yearly Cost Of Living Adjustments go into effect, as legislated in 1972. -
Medicare is Transfered to HCFA
The Health Care Financing Administration was created to assume responsibility for Medicare and similar programs. -
Greenspan Commission Bill Signed
The Greenspan Commission was formed by President Reagan to study the financing issues the program was facing. The resulting bill included coverage for federal employees, increased reserves in SS trust funds, partial taxation of SS benefits, and a gradual increase in retirement age beginning in 2000. -
Social Security Statements Required
As part of the Omnibus Budget Reconciliation Act of 1989, a requirement was introduced that Social Security Statements be sent annually to those working under the program. -
Social Security Becomes Independant Agency.
The Commisioner of Social Security began reporting directly to the President at this time. A permanent SS Advisory Board was formed to provide independant advice on the program. -
Ticket to Work
Ticket to Work and Work Incentives Improvement Act provides disability beneficiaries the opportunity to obtain a voucher for vocational rehabilitation, employment, and other support services. It also provides incentives to providers for successful rehabilitations. -
President's Commission to Strengthen Social Security
President Bush appoints a 16 member commission to address problems and recommend solutions in the Social Security Program, including financial issues and identity theft. -
Prescription Drug Improvement Act
The Medicare Prescription Drug Improvement and Modernization Act is largely administered by the Social Security Administration. It was the largest change to the Medicare program in its history. It was intended to make prescription drugs more affordable to those in the Medicare program. -
Identity Theft Penalty Enhancement Act
The goal of this act was to further discourage identity theft by imposing criminal penalties.