Social Security just hit its 90th anniversary, and new research from the Transamerica Center for Retirement Studies shows why the program is still such a lifeline for millions of Americans.
Nearly 7 in 10 people expect Social Security to be part of their retirement income, and for about a third, it will be the main source. That reliance is especially strong among lower- and middle-income households. More than half of Americans making under $50,000 a year say Social Security will be their primary support in retirement, compared with just 13% of those earning $200,000 or more.
The differences are even more striking among people already retired. A staggering 85% of retirees in the lowest income bracket depend on Social Security as their main income, while only 25% of the highest earners do. Overall, the numbers show a clear pattern: the less you make, the more you count on Social Security.
It’s a reminder of just how critical the program remains, even nine decades after its creation. This is also a reminder that Social Security reform is desperately needed. We believe the Elder Relief Act is the best solution. Learn more about this crucial proposed legislation here.