Working with Seniors: Health, Financial, and Social Issues

Chapter 21: Social Security and Supplemental Security Income

Earl and Jane Adams had their first child in 1955, at which time Jane quit her job as a clerical worker in an insurance company. The Adams went on to raise a family of four children. When Earl retired from teaching in public schools, he did not qualify for Social Security, but received a pension from the Ohio State Retired Teacher’s Association. It never occurred to the Adams to check Jane’s Social Security record—they just assumed that she had not worked long enough to qualify for benefits.

In 1995, a few weeks after their 46th wedding anniversary, Earl died. In 1997 Jane decided that she needed to “get into the world again,” and she applied for a part-time job. Her new employer’s human resources department helped her check her Social Security record and found that she had 34 credits from her early working years. After a year and a half of part-time employment, Jane qualified for Social Security benefits, which she now receives in addition to her survivor’s benefit from the Ohio state plan.

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Upon retirement Harold Grant was disappointed to find out that the pension plan he earned from the private company where he had worked for many years had a “small print” clause that allowed them to reduce his monthly pension plan by the amount of his monthly Social Security check, which he qualified for from prior work. This resulted in a loss of income of about $500 a month. Harold says, “I am a pretty smart guy, but I feel stupid that I did not realize this little ‘catch’ in my retirement plan. It makes me feel sour about all the years I gave my company.”

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Dotty, age 66, is homebound with diabetes. With the help of a counselor, she found out about a year ago that, even though she receives Social Security survivor benefits, she was eligible for Supplemental Security Income (SSI). Dotty was also happy to find out that the state she lives in, Vermont, pays a supplement to SSI. Dotty says that she is “still just barely getting by. I still can’t afford vitamins, more or less ice cream, but my check from SSI has helped me stay in my little apartment, which has been my home for over twenty years.”

Introduction

As a CSA, you need to know about Social Security for a number of reasons:

• It is the major source of income for most seniors and the entire source of income for one in five.

• Social Security is a federal agency that provides those who qualify with a number of related programs—retirement, disability, dependent, and survivor benefits. It is important to know the differences between these programs and how they can help your senior clients.

• Social Security has its limitations, and its rules are complicated, which can lead to disappointment for retirees.

• Like most seniors, your clients will have many fears about the security of the Social Security program.

• Many of your senior clients will be facing important decisions about Social Security that will have permanent consequences for them—such as whether to take early, full, or late retirement.

It is also important for you to understand when SSI can pick up some of the gaps in Social Security benefits and, in some situations, provide the only monthly check they receive.