We need to change this policy(law).

[SmittynMo]

Assumption: Both spouses are retired and collecting Social Security.

Did you know that when a spouse dies, the remaining spouse receives a whopping 250.00 from the government? The deceased's Social Security payment will stop. If the deceased's Social Security amount is greater than the remaining spouse, then the remaining spouse is entitled to that amount and must forfeit their own social security. Gee, what a deal. When the remaining spouse dies, no one can collect the 250.00. It is only given once in a spousal situation. With me so far?

But what if a spouse dies before they start collecting social security? Let's say the remaining spouse is retired (62) and the person that dies is 60. Yes, the spouse can collect the higher amount as earlier indicated, but again must forfeit the lower amount. However, that's approximately 44 years of income and FICA being contributed from the deceased into their Social Security. Nothing is given to the remaining spouse, except the 250.00. I'm sure that the accumulated amount that the deceased contributed can be well over 100K, depending on how much they contributed in their lifetime.

This is at a time when the remaining spouse is now on a fixed income, and receives nothing but 250.00. The government keeps all the money that the deceased had contributed. Does anyone see a problem here? I'm sure some shiester republican came up with these rules when they first instituted the law, to screw the elderly and lower income people. But it needs to change. Perhaps give the remaining spouse a large percentage of the deceased accumulated Social Security as a lump sum, tax free check. Anything is better than 250.00. That wont even pay for flowers in most cases. In today's day and age, where decent jobs are hard as hell find, and the elderly are falling into poverty, we have to do something to help them. Think about it. Everyone would benefit. Instead, the government is taking that deceased's money and sinking it into wars,etc, and screwing over the elderly. I know its not the perfect solution, but something has to be done.
Imagine your lifetime partner of 30+ years is dead from an unsuspected heart attack. Wouldn't it be nice to get a check for 50K to help pay off the house, accumulated bills, etc, so you can live the remainder of your life in peace, and not poverty?

I'm sure a lot of you will have a rebuttal, and some will be hateful, but this is money the deceased made to build that little nest egg called Social Security. And all you get is 250.00? WOW. It just doesn't make sense. It's like building a savings account throughout your life, and someone takes all the money, gives you 250.00 for your effort, and takes the remainder for themselves.

I know I'm dreaming here and on a rant, wouldn't have a clue to go about changing this, but.......

[dwpoland]

1. I agree

[SheilaT]

2. Not sure where to start.

Do you think a surviving spouse ought to be able to collect the dead person's SS the rest of his or her life in addition to her/his own?

Regular pensions don't work that way. At the point a person starts collecting the pension, a decision is made about whether or not to collect a lower amount so that the surviving spouse, if the pensioner dies first, continues to collect a smaller amount. Different pension systems vary here.

And one more time: The FICA amount, otherwise known as social security, is not put aside in millions of individual accounts with individual names on it. What the worker pays in while working goes to those currently receiving social security. Then the worker retires, and gets money from those currently working.

Social Security is not a life insurance policy. If you think it would be nice to get a 50k check upon the death of a spouse or partner, then encourage your spouse or partner to purchase life insurance.

Anyone who has contributed the maximum SS amount over the years has also been the kind of high earner who certainly should have been saving additional money for retirement. I don't have sympathy for people in that situation who don't.

Social Security is not an annuity. I have one, two actually, and when I decide to start collecting from them in a few years, I'll get a set amount of money, which will never go up, unlike Social Security, and if I do die before the amount in there is exhausted, by survivors will get the remainder. That's not the way Social Security works.

The $250 death benefit is almost totally irrelevant, so I can't imagine why you're worked up about it.

The larger point is that everyone should be making real plans for their eventual retirement and demise. Social Security was NEVER intended to be the only source of income in retirement, although the notion that everyone used to have lovely pensions from their work is a charming, if inaccurate, myth.

If you are part of a couple and desperately need both SS incomes just to survive, all I can say is that I hope you two can figure something out for whichever one of you lives longer.

[unblock]

3. social security is not a bank account, there are always going to be winners and losers

for starters, the retirement benefits are until death. people who work only 10 years and live to 100 take out far more than they put in.

people who quickly reach a large income and then become permanently disabled at a young age may also take out far more than they put in.

that money has to come from somewhere.

the losers are people who die before they are able to collect significant retirement benefits or who never collect any disability benefits.


but this is not really any different from private annuities or many pension plans or disability insurance plans.

[Travis_0004]

4. Thats the way insurance works

Some people pay a lot and receive nothing, others receive more than they paid in.

What about somebody who is single and dies at 60. They pay in and receive nothing, but sometimes thats how insurance works.

You cant pay out too much upon death or you will bankrupt social security.

You probably pay a lot to auto insurance. Hopefully you dont have too many claims. Social secutity is the opposite. Hopefully you can retire and live for 30 more years. If you do, insurance will pay you a monthly check. If you die you dont get it. That just the way it works.

[SmittynMo]

5. You all make very good points.

And I agree with all of you. Did I save for retirement? Sure. We all should. Do we as a country? No. Most people live day to day with no extra funds. Most good jobs are gone forever. Do I have life insurance? Sure, but not everyone can afford it. Will you have enough to survive? Probably not. Is the roof over your head paid for? Most likely not. I just wish there was something we could do to help the majority of people when it comes to social security, especially the elderly. I understand the concept of social security. Several retired people I know constantly say, keep working, you're paying my social security.