QuestionJune 12, 2025

4. Which statement best describes what Social Security is and how it works? a. Social Security is a mandatory payroll deduction for current workers who then receive the retirement benefit on an annual basis. b. Social Security is an optional program to allow retirees to continue contributing to their individual retirement accounts. c. Social Security is a government program that pools contributions from current workers to then provide retirement support benefits to those who are eligible. d. Social Security is a federal health insurance program for retired workers. 5. Why are people worried about the future of Social Security?

4. Which statement best describes what Social Security is and how it works? a. Social Security is a mandatory payroll deduction for current workers who then receive the retirement benefit on an annual basis. b. Social Security is an optional program to allow retirees to continue contributing to their individual retirement accounts. c. Social Security is a government program that pools contributions from current workers to then provide retirement support benefits to those who are eligible. d. Social Security is a federal health insurance program for retired workers. 5. Why are people worried about the future of Social Security?
4. Which statement best describes what Social Security is and how it works?
a. Social Security is a mandatory payroll deduction for current workers who then
receive the retirement benefit on an annual basis.
b. Social Security is an optional program to allow retirees to continue contributing to
their individual retirement accounts.
c. Social Security is a government program that pools contributions from current
workers to then provide retirement support benefits to those who are eligible.
d. Social Security is a federal health insurance program for retired workers.
5. Why are people worried about the future of Social Security?

Solution
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Answer

## Brief Explanations: Social Security is a government program designed to provide financial support to retirees, funded by contributions from current workers. It operates on a pay-as-you-go system where today's workers fund the benefits of current retirees. # Answer: c. Social Security is a government program that pools contributions from current workers to then provide retirement support benefits to those who are eligible. ## Brief Explanations: Concerns about the future of Social Security stem from demographic shifts such as an aging population and lower birth rates, which may lead to fewer workers supporting more retirees, potentially resulting in funding shortfalls. # Answer: People are worried about the future of Social Security due to demographic changes leading to fewer workers per retiree, raising concerns about sustainability and potential benefit reductions.
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