Social Security Critical Resource for Older Oklahomans

May is Older Americans Month
OKLAHOMA CAPITOL --- Social Security has been a remarkably effective anti-poverty program for older Oklahomans:

• Excluding Social Security, 48.8 percent of Oklahomans would have incomes below the poverty line; with Social Security included, the percentage drops to 10.7 percent;
• In Oklahoma, 22 percent of adults receive Social Security, including 24 percent of women and 19 percent of men;
• Without Social Security, 59% of elderly women in Oklahoma would be poor; and
• Social Security is the only source of income for 25% of non-married elderly women in America, and for 38% of elderly African Americans and Hispanics.

Social Security is financed mainly from payroll taxes — 6.2 percent of income from the employee, an equal amount from the employer—up to a maximum of $90,000 of income per year. The average annual benefit is $11,000, and the maximum is $23,000. The age at which beneficiaries are able to collect full benefits is 66; this will climb gradually to 67 by 2022.

The program operates efficiently; more than 99 percent of revenues go to benefits. By contrast, in Chile’s private system, management fees consume 20 percent of revenues.

Social Security is not just a retirement program. Its 47 million beneficiaries include 7 million survivors of deceased workers and 8 million disabled workers and their dependents. For a young family, Social Security provides the equivalent of a life insurance policy worth more than $400,000 and a disability insurance policy worth more than $350,000.

Note to Media Outlets: This release is the first in a series of four releases slated for the month of May, which is Older Americans Month. Each release will highlight an issue important to older Oklahomans.

Local experts are available to provide insight on Social Security and other issues facing older Oklahomans. To arrange an interview, please contact Judy Leitner at (405) 522-4510.

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