Milford chronicle., 1949-11-11
Social Security Costs

ON
Social Security Costs
THERE ARE ON the social secu-
1 rity rolls to-day IS million
Americans. They are those who are
drawing monthly pensions because
they have passed their 65th year
or who are paying a tax Of one per
cent of their earnings that they
may draw a pension at their 65th
year.
The monthly amount each is
drawing or will draw depends
to some extent on how long he
has paid the 1 per cent tax, on
the amount Of his income, up TO
q maximum Of $1,000 a year,
and on whether he is married
or single. II married the wife
too receives a pension, regard
less Of whether or not she has
been a wage Garner and has
paid the tax on her income. AS
the wife of a tax paying hus-
band she receives half as much
each month as her husband.
Should the husband die she win
receive the amount the hus-
band has been receiving.
That l per cent of their earnings
represents half of the cost of social
security pensions. They have paid
that directly from their pay enve-
lopes. The other half of the cost is
assessed against the employers.
They pay it directly but pass it on
to their customers.
In industry and merchandis-
ing, all taxes, federal, state or
local, are considered a cost Of
operation and included in
the price of the commodities.
These social security pay roll
taxes are treated as all other
taxes. Manufacturers and mer-
chants must do that to con-
tinue in business.
Taxes average about 80 per cent
of their receipts. The consumers Of
the nation pay the nations taxes
indirectly. The 35 million who are
on social security rolls represent
with their families an exceptional
ly large portion of all the consum
ers of the nation. AS such they are
paying directly half Of the socia
security cost and indirectly a large
portion of the other half.
A bill now before congress,
passed, will increase the names Of
social security from 35 million t
48 million. The same bill will in
crease the direct tax on wages t
112 per cent and that paid directl
by the employer, and charged
against the cost of production an
so paid by the consumers, anothe
one and one half per cent. To tn
beneficiaries Of social security,
means for those receiving check
an increase in monthly payments G
/ approximately One-tnlrQ.
That 48 million, with families
means better than three-fourths G
the consumers in the nation. Direct
ly and indirectly they will pay praC
= tically all the cost Of the soci5
security pensions they receive.
is expected that bill will be passe
early in 1850.
Of those on social security
the government asks no ques-
tiOns as to color, race, creed or
= affiliatiOn. It does not ask IL
= dues owing TO a labor union or
taxes owing to the government
are paid. 1t does not ask any
individual If he wishes to parti-
Il Cipate in a pension plan. Under
y the nOw-planned law if he is a
e wage Garner, large or small, he
q will pay directly one and a half
per cent Of his earnings, up to
the prescribed maximum, and
% as a consumer he will pay in
e directly his share of the other
r one and a half per cent Of the
= cost of social security pensions.
IS That is not something for not
h ing' as organized labor is deman
ing Of industry. Labor leaders pr
pose to levy a tax on industry
the benefit of minority, the fun
to be administered by the lab
leaders and to be paid to tho
whom they designate as qualifie
The consumers-all of US will
directly pay that tax.
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