Social Security Bulletin, Vol. 71, No. 2
More than one 1 of 5 adult Social Security beneficiaries has served in the military, and veterans and their families comprise 35 percent of the beneficiary population. Using data from the March 2010 Current Population Survey (CPS), this article presents the sociodemographic characteristics of the veteran beneficiary and the total veteran populations. The article draws comparisons with findings from the March 2000 CPS and the March 2004 CPS, and describes trends in the size and demographic makeup of the veteran population using data from the Department of Veterans Affairs' VetPop2007 projection model.
Approximately 4 percent of the aged population will never receive Social Security benefits. This article examines the prevalence, demographic characteristics, and economic well-being of these never-beneficiaries. Most never-beneficiaries do not have sufficient earnings to be eligible for benefits, and most of these insufficient earners are either late-arriving immigrants or infrequent workers. About 44 percent of never-beneficiaries are in poverty, compared with about 4 percent of current and future beneficiaries.
We analyze longitudinal interactions in benefit eligibility between the Disability Insurance and Supplemental Security Income programs and the lags arising from processing time in receiving the first payment, based on Social Security administrative records. We find that longitudinal interactions enhancing the bundle of cash benefits available for awardees over a 60-month period is much more common than apparent from cross-sectional data and identify distinct patterns of longitudinal interactions between the two programs. SSI plays an especially important role in providing benefit eligibility during the 5-month DI waiting period. Transition to nonbeneficiary status is more prevalent among SSI awardees because of exits attributable to the SSI means test. We also find that there is substantial variation in the lag in receiving the first disability payment.
Of particular interest in this article is the relationship between firm size and pension coverage and participation because small businesses tend to be less likely to offer retirement benefits to their employees than do large businesses. This relationship is particularly important given the current administration's retirement proposals to create automatic individual retirement accounts. Obviously, accurate information is important not only in formulating retirement income security policies that target workers without retirement plan coverage, but also to assess the impact of such policies on workers' retirement plan participation.
This article examines the relationship between earnings levels and participation and contribution rates in defined contribution (DC) retirement plans. Specifically, the article estimates DC plan participation and contribution rates in 2006 both by the worker's current earnings and by the annual average of real earnings over the 10-year period 1997–2006. Using these two different measures of earnings allows us to assess whether employing a longer period of earnings, such as a decade, provides a better representation of pension outcomes than the short-term measure of current earnings.
This article reviews the management components of the National Railroad Retirement Investment Trust (NRRIT) and their relationship to political independence. Centralized equity investment is sometimes proposed as a method for improving Social Security program financing and, echoing the debate over the NRRIT, politicized investment decisions are seen as one potential obstacle to the policy's success. This article does not advocate for or against investing Social Security's trust fund assets in equities, but examines the NRRIT's structure and experience to provide background information for policymakers.