How social security works

Chapter 1

The birth of a safety net

View / Create

Answer

Chapter 2

How the money flows

View / Create

Answer

Chapter 3

Calculating your slice of the pie

View / Create

Answer

Chapter 4

Global cousins and future paths

View / Create

Answer

YOUR GOAL

Master of How social security works

Ch 2 · How the money flows

hank

hank Demographics and the funding challenge

Jul 14

hank

hank Understanding the wage base cap

Jul 14

hank

hank The pay as you go illusion

Jul 14

hank

hank The magic of FICA taxes

Jul 14

hank

hank The role of the trust funds

Jul 14

hank

hank Social Security Funding

Payroll taxes, yeah! For your future, for our care!

Jul 14

hank

hank Understanding the wage base cap

Jul 14

hank

Fun Fact

Trust fund storage: The physical paper bonds representing the Social Security Trust Fund are kept in a filing cabinet in Parkersburg, West Virginia.

Jul 14

hank

hank The magic of FICA taxes

Jul 14

hank

Quiz

What type of financial asset does the Social Security Trust Fund hold?

Jul 14

hank

Gossip

Should high earners pay more?

Jul 14

hank

Quiz

What is the 'wage base cap' in the US Social Security tax system?

Jul 14

hank

Quiz

What is the name of the federal payroll tax deducted from US paychecks to fund Social Security and Medicare?

Jul 14

hank

Quiz

In 1950, there were 16.5 workers paying into Social Security for every retiree. Approximately what is that ratio today?

Jul 14

hank

Quiz

What percentage of wages do employees and employers each contribute specifically to Social Security?

Jul 14

hank

Quiz

What does 'pay-as-you-go' mean for the US Social Security system?

Jul 14

hank

Quiz

If you are self-employed, what percentage of your earnings must you pay for the Social Security portion of taxes?

Jul 14

hank

Quiz

Where is the surplus money kept when Social Security collects more tax than it pays out in benefits?

Jul 14