Social Security was instituted with the passage of the Social Security Act of 1935. It was signed into law by President Roosevelt as a means of providing a social safety net for retirees. The passage of Social Security occurred during the depths of the Great Depression. Prior to this, the concept of social security did not exist in the U.S. -- you either worked until you died, or you retired when you were wealthy enough to do so. Social Security is run by the Social Security Administration, which also administers Medicare as part of the system. Social Security is theoretically self-funding. In 1937, the first taxes were collected to finance the Social Security system. Workers pay into the Social Security system via a payroll tax. According to the SSA's website, general tax revenues have never funded Social Security to any meaningful extent, implying that the program is self-funding through these...
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