Social Security Income
Social security income is a program funded by payroll taxes called the Old Age, Survivors and Disability Insurance (OASDI), which draws money collected as social security taxes.
Social Security income is generally used to refer to Social Security pensions, survivors benefits and permanent disability insurance payments made by the Social Security Administration prior to deductions for medical insurance and railroad retirement insurance checks from the federal governments. However, this does not include Medicare reimbursements.
Social Security Income and SSI – The Difference
Many people mistake social security income for SSI (Supplemental Security Income), which is another a federal income supplement program funded by general tax revenues. As opposed to SSI, social security income is funded by payroll taxes (OASDI).
While SSI is given as a welfare-based or needs-based program, social security income - on the other hand - is dependent on the employee’s income, on the length of employment and the retirement age.
As SSI is given mostly to the blind, the elderly, the disabled, and the unemployed, social security income benefits are received mostly by retirees, their survivors and those with permanent disability.
Pensions are only paid to persons who have paid their social security taxes. Generally this refers to retirement benefits that an employee receives when he/she retires. Under the law, private employers are required to withhold and match a percentage of the wage and submit them for credit with the Social Security Administration. The amount of contribution is used to calculate the social security pension at the time the taxpayer reaches retirement age.
Minors and children of deceased taxpayer can also receive social security benefits through the taxpayer’s social security income.
Similarly, persons who have been determined to be totally and permanently disabled can also avail of benefits through his social security income.
To help you pursue your social security income benefits, you can consult with our experienced social security attorneys in Los Angeles. As one of the leading law firms in California, we have represented thousands of clients and obtained millions in claims for people all throughout the state.
With more than 15 years of experience in handling social security and disability claims, you can be assured of effective and reliable representation for one of the country’s expert social security and disability lawyers.
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