Entitlements:
Who’s Earned What?
Social Security
Medicare
Medicaid
Affordable Care Act
Older Americans Act
2012
Elder Rights
Conference
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The National Committee to Preserve
Social Security and
Medicare
Laura Feldman
Grassroots Manager
www.ncpssm.org
1800-998-0181
Fairy Tales
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There are two kinds of fairy tales
Those that begin with……..
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“Once Upon a Time”
Those that begin with…….
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“If elected, I Promise”
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“Entitle”
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“To furnish with a right or claim to
something.” (American Heritage
Dictionary)
(Legally) Access to benefits by right of
law
(Psychology) A symptom of narcissism
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Entitlements
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Earned
Eligible
Expected
Elective
Egocentric
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American’s have debated since 1776
on the Role of Government
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How much government is too much?
What is the role of government?
How many rights should states have?
How much power to the President?
How many individual rights?
Taxation?
Regulation?
Personal freedom?
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Social Security
An EARNED benefit
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Social Security Act of 1935

“It shall be the duty of the Secretary of
the Treasury to invest such portions of
the amounts credited to the account as
is not, in his judgment, required to
meet current withdrawals. Such
investment shall be made only in
interest bearing obligations of the US or
in obligations guaranteed as to both
principal and interest by the US.”
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Social Security by the
Numbers
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2015: Benefits exceed income,
excluding interest, when Boomers
start drawing Social Security benefits
2033: Trust Fund Assets exhausted
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Approximately 75% of benefits will
continue to be paid if no changes are
made to system.
Social Security will not go BROKE
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Social Security Facts 2011
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55 million people received benefits
38.5 million retired workers and their
dependents
6.3 million survivors of deceased workers
8.6 million disabled workers and their families
158 million paid Social Security payroll taxes
in 2011
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What is Social Security
worth?
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$450,000 equivalent to a life insurance policy
for a family with two children
$450,000 equivalent to a disability insurance
policy for a family with two children
69% of Social Security benefits go to retired
persons
17% of Social Security benefits go to people
with disabilities
14% of Social Security benefits go to survivors
The average Social Security benefit is $14,100
a year, less for women
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Social Security & the
Deficit
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Social Security has not contributed one dime
to our nation’s debt
Annual surpluses in Social Security have been
used for years to help mask the true size of
the federal debt
Social Security currently has accumulated a
surplus of 2.6 trillion dollars
Social Security is not the trouble; it is the
target
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Reasons to strengthen
Social Security
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Social Security is our safety net against
poverty for many Americans
Social Security is a guaranteed benefit
Social Security provides disability
benefits for all eligible workers
Social Security benefits provide inflation
protection
Social Security is an earned benefit
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2011 Payroll Tax “Cut”
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In 2011 workers will pay 4.2% in to Social
Security instead of 6.2%
This will cost the SS Trust Fund $120 billion
in lost contributions in 2011
Amount to be paid back with borrowed funds
from general revenue in 2012
Extending the “holiday” would leave Social
Security dependent on general fund revenues
rather than workers’ contributions and double
Social Security’s 75 year projected shortfall
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Social Security Messages
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SS is not responsible for our budget deficit
SS is owed 2.6 trillion from the federal
government
SS is our money not the governments
In this recession, SS has been the only source
of financial security for many American’s.
SS can pay the beneficiaries in full until 2037
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Common Sense Solutions
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Increase maximum amount of earning
subject to FICA to 90% of average
wages, SS cap is now $110,800 which is
84% of average wages
Slight increase in payroll tax
Make program universal by covering
newly hired state and local employees
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What can you do?
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Contact your Representative & Senator
Write a letter to the editor with a
personal story
Join the National Committee
Vote for a candidate who reflects your
interests for economic & health security
NC Legislative hotline 800/998/0180
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Health Care
Who is ENTITLED to health care?
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The Affordable Care Act
passed in March 2010
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On March 23, 2010 President Obama
signed the Patient Protection and
Affordable Care Act. The new law will
extend coverage to over 30 million
uninsured Americans
Some changes are already taking place
and parts of the law will take until 2014
to be fully implemented
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Health Care Goals
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To slow the rising cost of health care
To end pre-existing condition clauses
To end life time caps on health
insurance policies
To extend the life of the Medicare Trust
Fund
To cover 30 million uninsured
To improve benefits and lower cost
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Straight Facts on Health
Reform
The law will improve care for all Americans by:
1.
Reduce costs for age and gender rating
2.
End pre-existing condition clauses
3.
Cover children on their parents policy until
age 26
4.
Ban caps on lifetime coverage
5.
Ban dropping coverage when sick
6.
Help small businesses with tax credits
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Better Health Coverage for
people ages 50-64
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Immediate high risk pool for uninsured
Help employers to pay for early retirees
health care
End annual limits on coverage
End pre-existing condition clause
Better preventive & chronic care
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Women and Health Reform
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Up to 4.5 million women will be eligible
for coverage through Medicaid
About 11 million women will receive
insurance subsidies
Ban gender rating
Women will have access to obstetrical
and gynecological care
Reduce age rating
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Medicare
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An ELIGIBLE benefit
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Medicare
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Medicare, like Social Security, is based
on a promise that if you pay in during
your working years, you EARN the right
to guaranteed benefits.
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Medicare and the 2011
Affordable Care Act
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Medicare, established in 1965 is the
federal health care plan for people 65
years and older and those under 65
with certain diseases or disabilities
In 2011, 48.5 million people were
covered by Medicare: 40 million age 65
and older and 8.5 million disabled
people
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Medicare and Health
Reform
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1.
2.
3.
4.
The law will reduce Medicare costs
and extend the Medicare Trust Fund
by 7 years
Slow the rate of payment to providers
Reduce fraud and abuse
Reduce payments to Medicare
Advantage plans & increase benefits
Create a new Medicare Advisory Board
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Medicare Policy
Challenges
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Contains spending growth
Protects the most vulnerable elders
Fixes physician payment rates
Lowers prescription drug costs
Improves value with added benefits
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Original/Private Medicare
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Original Medicare plans provide the
same coverage in all 50 states.
Parts C & D are “private” Medicare
supplements with over a thousand
different plans across the United States
provided through state based insurance
companies regulated by Medicare.
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Medicare Maze
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Part A=Hospital Care
Part B=Outpatient, doctor care
A & B, together are original Medicare
----------------------------------------------Part C=Medicare Advantage or
managed care supplemental
Part D=The Prescription Drug Benefit
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Medicare & Health Reform
Savings
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Reduce Medicare Advantage plans
overpayments
Reduce prescription drug costs and
close the donut hole by 2020
Reduce Medicare fee-for-service
payment rates
Reduce fraud and abuse costs
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Health Care Benefits for
Seniors in 2011 & Beyond
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Free medical check up each year
Most preventive screenings are free
Prescription drug discounts in the donut
hole on brand name and generic drugs
Bonuses for primary care providers
Better coordination of care and follow
up after hospitalization
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Medicaid
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An ELIGIBLE benefit
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Medicaid
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Our nations primary insurance program
for high-need individuals, old or poor.
A joint federal and state-run program
that provides health care coverage for
low income people and those who need
long-term services or nursing care.
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The Older Americans Act
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An ELIGIBLE benefit
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Medicaid & Long Term Care
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50% of all nursing home residents are
paid for by Medicaid
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Older Americans Act
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The Older Americans Act established
the Administration on Aging and the
Aging Services Network, including 632
Area Agencies on Aging; 240 Title VI
Native American Programs; and over
30,000 service provider organizations.
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Older Americans Act
Services
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Supportive Services and Senior Center
programs
Nutrition Services and Education
Disease Prevention and Health Services
National Family Caregiver Support Program
Elder Rights Protection
Grants for Native Americans
Community Services Senior Opportunity Act
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TAXES
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I EARNED my money the hard way
I’m ELIGIBLE for the deductions I take
I EXPECT to keep my hard earned $
I ELECT to not pay for others
I am not EGOCENTRIC, I’m good for
the economy
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Final Thoughts on Senior’s
Health & Retirement Security
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Health reform is NOT A Government take
over of health care
The law is a “process” not an event
The Affordable Care Act is an “uniquely
American” solution to provide quality health
care for more American’s at a lower cost
Timely and proper implementation will be key
to Success or Failure to begin to contain
healthcare costs for all Americans
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Social Security’s Future
Is up to all of US
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Social Security today has 163 million
people paying in to the system
Social Security’s surplus is 2.6 trillion
Social Security is now raising the full
retirement age to 67 over 25 years
Social Security keeps most seniors out
of poverty and in their own homes
Social Security is an earned benefit
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Where you can find the
National Committee
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www.ncpssm.org
Entitledtoknow.org
Facebook.com/NationalCommittee
Youtube.com/nationalcommittee
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THANK YOU
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For more information, please view the
National Committee website or contact
me at 1-800-998-0181
FELDMANL@ncpssm.org
To speak with your Senator or
Representative, use the NC Legislative
Hotline at 1-800-998-0180
3/2012
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