What happens to an individuals S.S. contributions when they pass on and don't collect S.S. ?

Question

How many tax paying citizens die every year and donate their life long donations to S.S. and they or their families never receive a penny in return. And how can they predict its demize so accurately when their are so many variables involved?

Answer 1

For what it's worth...most people receive far more back from SS after they retire than they put into it. That's why the Social Security "fund" is in such trouble. Predicting its demise is, indeed, just a numbers game. The real truth is that SS will never go away...since anyone who got rid of it would be comitting politcal suicide. That said, it will be "fixed" by raising both the retirement age and the withholding tax.

There are provisions for a spouse to recieve some portion of SS when the other dies (complicated by any individual benefit the spouse is entitled to) but, yeah, if you die before your time, it's a donation the gub'mint.

Answer 2

When the federal government started Social Security, the retirement age was 65. The life expectancy at that time was age 62. FDR was not planning on paying out a lot in benefits.

SS deductions are a tax. If you retire and collect benefits...good. If you die too soon, the money stays with the SS Administration.

Answer 3

The Government and Nancy Pelosi (as the purse string controller) is very appreciative of all the Seniors and others who contribute to subsidizing Starkist Tuna.

Answer 4

The government spends SS funds. They were supposed to KEEP IT FOR THE recipients, but they began to reguard SS funds as general funds. That's why SS is done for.

So its just thrown into the governments black hole with the rest of the money.

Answer 5

the family may or not be entitled to a 450 check other wise is absorbed back into the funds to pay for someone elses ss

Answer 6

The govt keeps the money.