FHCE 2100 Lecture Notes - Lecture 45: Population Reference Bureau, Disability Insurance, Old Age

• School: University of Georgia
• Department: Financial Planning, Housing and Consumer Economics
• Course: FHCE 2100
• Professor: Dr.Kabaci

Document Summary

Direct effect on the lives of 90-95 of the population. The largest federal government policy (or set of policies) affecting family economic well-being. 2002 population reference bureau report: age specific government expenditures on people over 65 years of age was 3. 9 times higher than expenditures on children under 18. But, payroll taxes reduce disposable income: perceive need to save less for retirement, so savings are less. 1935 social security act (under great depression) 1961 - (cid:862)early retire(cid:373)e(cid:374)t(cid:863) at age 62 added (cid:894)lowered(cid:895) 1983 greenspan commission appointed by reagan to address ss solvency issue. Required government employees to pay into social security for the first time. Gradual increase in retirement age for some recipients in future. 2009 (cid:862)no o(cid:272)ial e(cid:272)urity be(cid:374)efits for prisoners a(cid:272)t(cid:863) (cid:271)y o(cid:271)a(cid:373)a. Cost of taking benefits before full retirement age. Delay: until 70 ,000 instead of 66 ,341. Social security is evolving to withstand demographic changes.