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Old-Age Benefits, January–June 1953

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Old-Age Benefits, January–June 1953 sistance, 33 cents for general assist- Table 2.-Number and percentage distribution of old-age benefits awarded in ance, 9 cents for aid to dependent January-June 1953, by computation method, amount of benefit. and sex children, 7 cents for aid to the per- of beneficiary manently and totally disabled, and [Based partlyon E-percent sample] 1 cent for aid to the blind. To meet I Total I Male I Female the cost of vendor payments, old-age Amount of monthly benefit ’ i- -‘- T assistance funds were used by 24 Number / Percent/ Number Percent Number Percent States, aid to dependent children -/-- -___ funds by 23 States, aid to the blind Total .___.. _____._ -- ._.._.. 428,903 1 100 309,347 100 119,556 100 by 21 States, aid to the permanently $25.00 ____._ .______. --- _____--.. ______57,453 13 23,552 24 25.10-34.90~....~....-.~~~.~---.- 41,836 10 21,494 17 and totally disabled by 18 States, and 35.00-44.90.~.~~.~....~.~~~~..... 34,087 y” 20,788 45.00-54.90 _________--- .__._ 38,013 25,345 :: general assistance by 39 States. 55.00~4.90...~~~~......~.~~..... 84,745 20 58,740 22 65.00-74.90. _ ____.... _.__._ ..__ 63,724 :z 52,623 9 75.00-84.90. _______.. .._._ 50,611 46,269 4 85.00 _______ ._.____ --- __.__ -_._- 58,434 14 55,536 2 ____- Old-Age Benefits, January- New-start formula.. ____. -. 1 301,824 I 100 I 225,244 100 I 76,580 100 June 1953 $25.00 ____._ -- ______.. .._ __.-._ 2,810 Ii 5,866 25.10-34.90...-~.-~.~~.~---~~~~~~ 13,328 14,681 Benefits awarded.-During the first 35.00-44.90...-...----.-.-.-..--. 6 1 10.046 4 8,316 45.00~54.90...-.-.....----......- 6 11; 220 5 7,490 half of 1953, old-age benefits were 55.0061.90 . ..____....___.. -...-_ 19 22,669 65.00-74.90...~~~.....~~~..-..~-~ fi 42,43. soiY95 19 10,328 awarded to 428,900 persons-more 75.00-84.90. _ .___.....___... .___ 20 4,332 85.00 ____.-______.....___-.. .___ ::, 45,50255,536 25 2,898 than double the number to whom --___ Conversion table. -. ..___. j12:,o;oi~!-&1103 100 42,976 awards were made in the first 6 .___ months of 1952 and almost equal to $25.00 ____._ ._.___. -.-._- __..... 48,777 38 25,742 ?A 23,035 25.10-34.90..~~.~~~.-.--.~~-.--.. 13,827 11 8,166 5,661 the record number awarded in the 35.00-44.90..~.. .._... -.-__.- 15,725 :i 10,742 first 6 months of 1951. Less than the 45.00-54.90....-.....-........~.. 19.303 14,125 :“7 4,9835.178 55.00-64.90 -- ____ -_- 18,289 14 14,933 18 1 3,336 normal number of awards were made 65.00-74.90...-.- ._._ . 10,401 11 773 in January-June 1952, however; 75.00-77.10 . ..__ -.- .____ -.- . / 777 ; 9,628767 1 10 .-1 /- / many workers deferred filing applica- tions for benefits until after June 1 Less than 0.5 percent. 1952 in order to acquire 6 quarters of coverage after 1950 a;nd thus qualify to self-employed persons who, after larger number of awards in 1953 is for higher monthly benefit amounts January 1, 1953, could for the Arst the growth in insured population as through use of the new-start formula. time become entitled to full-rate a result of the extension of coverage The number awarded in the first half benefits based solely on self-employ- provided by the 1950 amendments. of 1953 was swelled by many awards ment income. Another reason for the About ‘70 percent of the old-age benefits awarded in January-June Table l.-Number, percentage distribution, and average monthly amount of 1953 were computed under the new- old-age benejits awarded in January-June 1953, by computation method, start formula-that is, they were age, and sex of beneficiary based on earnings after 1950, and the [Based partly on lo-percent sample] new benefit formula was used to de- termine the amount (table 1). The I Total I Male - Female benefits for the remaining 30 per- cent of the persons were determined Per- Average NUllI- by applying the 1939 formula to earn- ber cent monthly I I amount ings after 1936 and increasing the -/+--I--- result through use of the conversion Total .____.____...._ 428,903 100 $56.91 309,347 100 $61.57 119,556 100 1 $44.85 ___- ________ table. Awards to women represented 65-66......-.-.-.-.-.-.- 178,165 42 54.86 123,080 40 60.45 55,085 46 42.35 67-69....-.-.-.---...--- 105,848 ii 60.34 77,726 ;: 64.76 28,122 24 48.13 one-fourth of the benefits computed 70-74....-.--------.---- 85,287 57.08 62,531 61.21 22,756 19 45.74 under the new-start formula and one- 75-79.~~....-.--.--..--- 46,680 11 57.80 36,049 12 61.05 10,631 9 46.76 80 and over.. _ ________-_ 12,923 3 52.70 9,961 3 54.58 third of the benefits determined by New-start formula.~/301,8241~l$63.99/225.2441100/~ use of the conversion table. 6~6......------------. 90,597 30 67.65 67,475 30 72.47 23,122 30 53.56 Insured persons who upon reach- 67~9......-------.----- 85,485 2 65.67 63,393 28 70.30 52 37 ing age 65 are disabled, retired, or 70-74......-.---.-.----- 72,146 61.02 52,949 24 65.59 19,19722,092 ii 48.42 75-79.....~.--------..-- 41,865 14 60.31 32,359 14 63.85 9,506 12 48.26 unable to obtain employment or who 80and over ____________. 11,731 4 54.98 9,068 4 56.99 2,663 3 48.13 -- --~--- -- are currently working in noncovered Conversion table. 127,079 100 $40.08 84,103 100 $43.32 42,976 100 $33.74 --- employment usually Ale applications 6546 _...._________ .___ 87,568 41.62 55,605 66 45.86 31,963 74 34.25 for benefits immediately. Such per- 6749 . ..__._______._.___ 20,363 2 37.98 14,333 40.24 6,030 14 32.61 70-74......---------.--- 13,141 10 35.44 9,582 :: 36.98 3,559 31.29 sons are unlikely to have enough 7M9......--..---_-...- 4,815 4 35.05 3,690 4 36.53 1,125 i 34.08 quarters of coverage after 1950 to 1 80 and over ..___________ 1,192 1 30.26 893 1 30.18 299 30.47 qualify for a beneflt computation 1 Age on birthday in 1953. under the new-start formula. Old-age 22 Social Security Table 3.-Number and average monthly amount of old-age benefits in current- in the Budget document. The recom- payment status at the end of each half year, by benefit-computation method, June 1952-June 1953 mendations made by the President [Numbers in thousands] were reported in the February BUL- LETIN. I Total xewstart formula Conversion table The Budget includes estimated ex- penditures for the fiscal year 1954-55 Half year ending- Average Average As ercent of Average of $1,328 million from budget author- Number monthly Number monthly al Pold-age Number monthly amount amount beneficiaries amount izations and operating funds for the ______ ~~ Social Security Administration, a de- June195X......---.-. 2,372 (‘1 2,371 crease of $96 million from the cur- December 1952--..-.-. 2,644 $;g ;; 23; %: E 2,409 %G June 1953 ..__... ~---.- 2,9i7 50: 42 537 65.17 1: 2,440 47Ili rent fiscal year (table 1). These esti- mates do not take into account the 1 Less than 0.5 percent. operations of the old-age and sur- vivors insurance trust fund. The de- benefits awarded in the first half of the proportion of benefits determined crease is concentrated in public as- I953 to persons attaining age 65 or by the new-start formula has in- sistance, where the expected decline 66 during 1953 comprised 69 percent creased. in estimated expenditures results of the benefits determined by use of from a drop in the number of recip- the conversion table and 30 percent of Proposed Budget for Social ients, from the proposed changes in the benefits figured by the new-start the public assistance matching for- formula. Security Programs, mulas, and from the changes proposed The average old-age benefit 1954-55 in old-age and survivors insurance awarded in January-June 1953 was The Budget of the United States that will, the President said, reduce $56.91, an increase of 43 percent from Government for the flscal year end- “the need for supplementation by the average amount awarded in the ing June 30, 1955, was submitted to public assistance.” first half of 1952 (table 1). This Congress by President Eisenhower on Of the total expenditures, $1,323 higher average was the result partly January 21, 1954. The budget for the million or almost 100 percent repre- of the higher benefit amounts payable Social Security Administration pro- sents grants to the States-for public under the 1952 amendments and vides for the continuance of existing assistance, $1,185 million under exist- partly of the large number of benefits programs. It also includes cost esti- ing legislation and $108 million under computed under the new-start for- mates for the proposals to extend old- proposed legislation, and for maternal mula. The average benefit figured by age and survivors insurance and to and child welfare grants, $30 million.
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