America Saves are collaborating to better inform young workers about the deductions to their paychecks. The U.S. Social Security Administration (SSA) has prepared infographics and talking points so employers can provide information to their young employees about their first paycheck. These free resources are provided directly to programs that want to use it for orientation or educational purposes, and are made available directly to young workers who complete the America Saves program.
What the FICA?
FICA is a U.S. federal payroll tax. It stands for the Federal Insurance Contributions Act and is deducted from each paycheck. This infographic from SSA provides a short and simple explanation of the deductions and their long-term benefits to young workers.
What is Social Security?
Social Security was created to promote the economic security of the nation’s people. This infographic from SSA outlines the history of the program designed to pay retired workers age 65 or older a continuing income after retirement.
Will Social Security Be There For Me?
There are two Social Security trust funds, and SSA can only pay benefits if there is money in the trust funds. Congressional changes to the program in the 1970s and 1980s extended the life of the trust funds and resulted in the $2.8 trillion in them today. Even if nothing changes, all benefits can be paid on full and on time through 2034, and nearly 80 percent of each benefit due can be paid beyond 2034.