Life Expectancy for Social Security
If we look at life expectancy statistics from the 1930s we might come to the conclusion that the Social Security program was designed in such a way that people would work for many years paying in taxes, but would not live long enough to collect benefits. Life expectancy at birth in 1930 was indeed only 58 for men and 62 for women, and the retirement age was 65. But life expectancy at birth in the early decades of the 20th century was low due mainly to high infant mortality, and someone who died as a child would never have worked and paid into Social Security. A more appropriate measure is probably life expectancy after attainment of adulthood.
As Table 1 shows, the majority of Americans who made it to adulthood could expect to live to 65, and those who did live to 65 could look forward to collecting benefits for many years into the future. So we can observe that for men, for example, almost 54% of the them could expect to live to age 65 if they survived to age 21, and men who attained age 65 could expect to collect Social Security benefits for almost 13 years (and the numbers are even higher for women).
Also, it should be noted that there were already 7.8 million Americans age 65 or older in 1935 (cf. Table 2), so there was a large and growing population of people who could receive Social Security. Indeed, the actuarial estimates used by the Committee on Economic Security (CES) in designing the Social Security program projected that there would be 8.3 million Americans age 65 or older by 1940 (when monthly benefits started). So Social Security was not designed in such a way that few people would collect the benefits.
As Table 1 indicates, the average life expectancy at age 65 (i.e., the number of years a person could be expected to receive unreduced Social Security retirement benefits) has increased a modest 5 years (on average) since 1940. So, for example, men attaining 65 in 1990 can expect to live for 15.3 years compared to 12.7 years for men attaining 65 back in 1940.
(Increases in life expectancy are a factor in the long-range financing of Social Security; but other factors, such as the sheer size of the "baby boom" generation, and the relative proportion of workers to beneficiaries, are larger determinants of Social Security's future financial condition.)
| Table 1: Life Expectancy for Social Security |
| Year Cohort Turned 65 | Percentage of Population Surviving from Age 21 to Age 65 | Average Remaining Life Expectancy for Those Surviving to Age 65 |
| Male | Female | Male | Female |
| 1940
1950
1960
1970
1980
1990 | 53.9
56.2
60.1
63.7
67.8
72.3 | 60.6
65.5
71.3
76.9
80.9
83.6 | 12.7
13.1
13.2
13.8
14.6
15.3 | 14.7
16.2
17.4
18.6
19.1
19.6 |
| Table 2: Americans Age 65 or Older 1880-1990 |
| Year | Number of Americans Age 65 or Older |
| 1880
1890
1900
1910
1920
1930
1940
1950
1960
1970
1980
1990
2000 | 1.7 million
2.4 million
3.0 million
3.9 million
4.9 million
6.7 million
9.0 million
12.7 million
17.2 million
20.9 million
26.1 million
31.9 million
34.9 million |
FAQs
For general Social Security inquiries, call us toll-free at 1-800-772-1213 or 1-800-325-0778 (TTY) between 7 a.m. and 7 p.m., Monday through Friday.
What is one of the biggest mistakes people make regarding Social Security? ›
Your benefit is reduced about one-half of one percent for each month you start your Social Security before your full retirement age. For example, if your full retirement age is 67 and you sign up for Social Security when you are 62, you would only get 70% percent of your full benefit.
How do I get past Social Security statements? ›
You can get your Social Security Statement (Statement) online by using your personal my Social Security account. Your online Statement gives you secure and convenient access to estimates for retirement, disability, and survivors benefits you and your family may be eligible for.
What is the 5 year rule for Social Security? ›
If you become disabled before your full retirement age, you might qualify for Social Security disability benefits. You must have worked and paid Social Security taxes in five of the last 10 years.
Is there really a $16728 bonus for Social Security? ›
Have you heard about the Social Security $16,728 yearly bonus? There's really no “bonus” that retirees can collect. The Social Security Administration (SSA) uses a specific formula based on your lifetime earnings to determine your benefit amount.
Is taking Social Security at 62 a huge mistake? ›
Waiting to claim your Social Security benefit will result in a higher benefit. For every year you delay your claim past your FRA, you get an 8% increase in your benefit. That could be at least a 24% higher monthly benefit if you delay claiming until age 70.
What can cause you to lose Social Security benefits? ›
Exit from the SSI program can be due to death, medical recovery, excess income (earned or unearned), excess resources, or a change in living arrangements. In many cases, for instance when dealing with excess income, payments are suspended.
How long does it take to get your Social Security check after you turn 62? ›
Timing your first benefit payment
Your first check won't arrive until the month after the one you pick in your application. You can apply any time up to four months before the month you pick. For example, you want your first check in April.
At what age is Social Security no longer taxed? ›
There is no age at which you will no longer be taxed on Social Security payments. So, if those payments when combined with your other forms of income, exceed one of the two thresholds, then you will have to pay at least federal taxes on either 50% or 85% of the benefits you receive.
Can Social Security see my bank statements? ›
For those receiving Supplemental Security Income (SSI), the short answer is yes, the Social Security Administration (SSA) can check your bank accounts because you have to give them permission to do so.
What Is the Most Approved Disability? Arthritis and other musculoskeletal system disabilities make up the most commonly approved conditions for social security disability benefits. This is because arthritis is so common. In the United States, over 58 million people suffer from arthritis.
How much Social Security will my wife get if she never worked? ›
For a spouse who is not entitled to benefits on his or her own earnings record, this reduction factor is applied to the base spousal benefit, which is 50 percent of the worker's primary insurance amount.
What age does Social Security end? ›
Your benefits last as long as you live. Taking benefits before your full retirement age (as early as age 62) lowers the amount you get each month. Delaying benefits past full retirement age (up to age 70) increases the monthly amount for the rest of your life.
Where is the best place to get Social Security advice? ›
Our website is the best way for most people to get help. our website, call our National 800 Number (1-800-772-1213) or your local Social Security office for help. We will schedule an appointment for you, if necessary, to serve you by phone or in person.
How can I get Social Security to answer the phone? ›
You can call us at 1-800-772-1213 between 8:00 a.m. – 7:00 p.m. local time, Monday through Friday. Wait times to speak to a representative are typically shorter in the morning, later in the week, and later in the month.
How can I get help with understanding Social Security? ›
Social Security replaces a percentage of a worker's pre-retirement income based on your lifetime earnings. The amount of your average earnings that Social Security retirement benefits replaces depends on your earnings and when you choose to start benefits.
How to answer SSI interview questions? ›
Make a list of your medical providers, medications, and treatments. Be honest. Provide accurate and truthful information about your medical condition, symptoms, and limitations. Clearly communicate the severity of your disability and how it affects your ability to work.
