The Waterbury Democrat. [volume] (Waterbury, Conn.) 1917-1946, 1935-05-24

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in future for aged needy mot
under federal old age iIisur.
nmce system. About 1,OOO,O 900
persons over OE HFe now ON re-
lief ;nOt more than 1,125OOO,
including most OF these, are
expected to be covered at first,
many by only small grants,
but number will rapidly in
crease.
Money will, be available as soon
as Ssh is set up and state systems
are Established - as some already
are--and approved.
..f.s,e 80
COMPULSORY CONTRADICTORY
OLD AGE INSURANCE--Likely
to cover 25,o00,o0o people, en-
abling younger persons to receive
old age benefits on retirement from
work at SIS or later. Wages OF
employees up to first $4,000 and
pay-rolls of employers to be taxed
equally at / per cent beginning
1887, gradually increasing to per
cent each and total Of per cent
by 1919.
Tax deducted by employers ana
payable into Treasury reserve fund
which is expected to reach 10 biz
lion dollars by 1913. FIRST bene-
fits become payable in 1912, with
minimum Of $40 a month (you
must have had five years. employ
ment under the plan and had ST.
900 wages taxed to draw benefits;
for less than that you get a lump
sum) and eventual maximum of
SIS a. month, depending on time
worked, and amount paid in for
the individual.
.Examples:. Man OF IS who
had averaged $50 a month wage
for 10 years under plan would
draw $17.SO month; after rs
years, $685.. after As years, 1856.
Man averaging $3.50 . month
(tops) would draw $3.50
month after 10 years work;
$e2.S0 after IS years; SIS after
As years. Some adjustments for
older workers not Jet 60.
Excluded: Employees engaged in
agriculture, domestic service, cas-
ual labor, public employment (ship
crews. in House bill, but not Sem
ate's), and non-profit institutions.
Death benefits provided. Inappli-
cable to employees over so or where
employer has fewer than 10 EN-.
ployes, according to House bill.
fewer than four, according to Sem
ate bill.
VOLUNTARY OLD AGE AN.
NUIT1ES-Omitted by House, but
proposed by Senate Finance Com
mittee. Designed to cover pro-
fessional, self-employed, white col
lar, small establishment and other
groups not otherwise covered.
Treasury would sell annuities at
cost, probably through postoffices,
purchasable by small installments
or lump sum in amounts sufficient
to provide life incomes Of from IS
to 500 a month at age of IS.
UNEMPLOYMENT INSUR.
ANCE-Unerated by state systems
and uniform federal payroll tax
Con 10 or more) persons Of per
cent In 1896, 2 per cent in 1887,
per cent in 1898 and thereafter.
Covers possibly 10000, 900 peo-
pie under present conditions and
receipts anticipated at $900,000,000
a year by 1850.
Employers credited with o.
per cent of what they pay to
any state unemployment insur-
ance system, Treasury retaining
10 per cent and financing state
administration expense. Pay.
pents begin in 1888
No means test, but states have
wide discretion as to conditions,
amount, and duration Of payments.
Individual companies may pay
into their own reserve pools where
state systems permit. EXCLUDED:
Same groups as In contributory
old age insurance.
OTHER APPROPRIATIONS
Federal grant-aid to states on an
nual matching basis, including
$25,O0O,00O for aid of dependent
children (mothers' pensions), $4,-
100000 for maternal and child
health, $3,0O0,00O for blind, So
100000 for crippled children, ST.
100000 for rural child welfare,
ana $10,0O0,000 for extension of
public health service.
Court tests of the constitution
ality Of the compulsory sections are
certain. Administration forces in