Disability Claims Hit another Record High this October

According to a recent news report published by CNS News, the number of American wage earners collecting disability benefits has hit another record-breaking high this October.

Accordingly, as per a record released by the Social Security Administration (SSA), the total number of disabled workers collecting disability benefit claims as of  this month  has reached 8,803,335—up from the previous record of 8,786,049 set last month.

Incidentally, during the first month of President Obama’s administration way back in 2009, there were a total of 7,469,240 workers collecting federal disability insurance.

Consequently, so far, the said figure has increased by 1,334,095. The same resulted in a total increase of about 29,646 per month or an average of about 975 per day.

Moreover, during George Bush’s presidency, the number of wage earners collecting federal disability insurance reached a total of 7,442,377 in January 2009 from 5,067,119 in February, 2001. The figure then has increased by 3,375,358 and equated an average total increase of about 24,742 per month or 813 per day.

Unfortunately, it is highly possible that such figures may lead to comparison between the two administrations. Also, it could provoke the ongoing political issues between the current U.S. presidential candidates.

Most probably, the current administration’s political opponent would not miss this opportunity to turn this issue to his advantage.

Although almost everyone is aware that the Social Security fund has been struggling these past few years as a result of the global economic recession, it can’t be avoided that blames regarding such issues will be put on a particular country’s current administration.

Basically, the current U.S. administration knows that this could be taken against him by his opponent since the deflating social security fund is becoming a hot topic in line with the presidential election, a Los Angeles permanent disability lawyer commented. 

Social Security Benefit Increase in 2013 May Be Hard to Notice

Recently, the Social Security Administration (SSA) announced that it will increase the Social Security payments by 1.7 percent next year.

Accordingly, it is one of the smallest increases in the cost-of-living adjustment (COLA) since the automatic annual increase in benefits took effect in 1975. In fact, it is only the sixth time that the adjustment has been less than 2 percent since the program was launched.

In addition, this year, recipients received a 3.6 percent increase after having no increase at all in the past two years.

Incidentally, it was as early as 1940 when the first recipient started receiving benefit payment and since then, each increase in COLA had to be approved by Congress.

Since 1950, Congress had made several amendments, removing political pressures from the annual process. Furthermore, the increase becomes automatic and based on mathematical computations using standard statistical gauges.

At present, retirees usually receive an average of $1,237.00 a month. Therefore, the increase will be about $21.00 a month to the recipients’ payments. However, the agency warned other beneficiaries that their social security increase will be partially or completely withheld by increases in Medicare premiums.

Generally, the Medicare premium is now almost $100.00 a month and in the future it is more likely to increase by $7.00 a month once the federal government decided to put up an increase. The Part B premium usually covers doctor’s visits.

Consequently, according to AARP executive vice president, Nancy LeaMond, the humble COLA adjustment will only be consumed by healthcare and prescription costs of seniors, which constantly surpass inflation.

The AARP, or the American Association of Retired Persons, is an organization that lobbies on behalf of senior citizens.

LeaMond further said that seniors and other recipients keep struggling to make both ends meet. Nevertheless, they still feel like falling further.

As previously reported, the federal agency is currently experiencing financial crisis as a result of the economic recession. Therefore, the same is currently working its way to reduce its expenditures. In fact, the agency recently shut down nearly 50 field offices and trimmed office hours by thirty minutes twice already.

Also, it will allegedly layoff nearly 40,000 jobs this year. Subsequently, the most probable reason why the agency will have another increase, which is less than the average 2 percent hike, seems to have something to do with its cost cutting efforts, speculated by a Los Angeles social security disability lawyer.

SSA Field Offices to Cut 30 Minutes from Regular Office Hours

Beginning November 19, some 1,233 field offices of the Social Security Administration (SSA) will be cutting thirty minutes from their usual office hours. Therefore, the field offices will be operating and open to public from 9:00 am until 3:00 pm, according to a newspaper for senior government managers.

Accordingly, the said office hours reduction is a part of the agency’s goal to highlight the importance of seeking Social Security Disability Insurance (SSDI) representation for people with disabling condition. In fact, this is the second time that the agency has trimmed some 30 minutes from its regular office hours.

The first office hours cut took effect last August 15, 2011, when field offices started operating between 9:00 am and 3:30 pm. It was actually 30 minutes earlier than the previous closing time, which was 4:00 pm.

Meanwhile, in wake of the previous announcement, several organizations have expressed their disapproval of the trimmed office hours.

According them, the measure would only delay and deteriorate the quality the agency’s service to senior citizens and other Social Security recipients.

Aside from the two consecutive office hours cut, it can be remembered that the agency previously shut down nearly 50 field offices over the past couple of years and will allegedly lay off approximately 4,000 employees this year alone.

Some experts believe that the cost-cutting measures would only mean hardship to many applicants, particularly those who are suffering from chronic pain and disabling illnesses.

Consequently, a Los Angeles SSI lawyer hopes that the federal agency will eventually consider having a close examination of the pros and cons of its decisions. This way it would avoid imposing undue hardship to SSI and SSDI claimants and SSA employees.

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Frauds Target Seniors’ Social Security Disability Benefits

According to recent reports, senior citizens’ social security disability benefits are the latest targets of scams after the Social Security Administration (SSA) redirected the recipients’ payments to their electronic accounts to abide by the agency’s new regulation to stop sending paper checks, according to the agency’s Inspector General, Patrick O’Caroll.

During a Congressional hearing last week, O’Caroll explained how frauds make their way in stealing the recipients’ disability payments. He said that frauds usually get the victim’s personal information and bank account details by luring seniors to lottery scams that ask victims to spill out such personal details in order to claim big prizes.

Subsequently, upon getting the victim’s bank account number and other personal information, frauds, pretending as the account owner, will then contact the SSA and request their payments to be rerouted into another bank account number.

Incidentally, as of August 31, the agency’s inspector general office received more than 19,000 reports of questionable changes or attempted changes to a beneficiary‘s direct deposit information and each day, it still continues to receive 50 similar reports.

However, in a statement released by the SSA’s spokesman, Mark Hinkle, the said figure only accounts for only a tiny proportion of the 711 million payments that the agency made electronically over the same period. In fact, many of the said reports are a result of typing errors and not scams, Hinkle added.

Fortunately, Hinkle’s statement was backed by Identity Theft 911, a company helping identity theft victims. According to the company’s investigators, they started hearing about the reports of this kind of scam only recently. So far, there are only six instances of frauds rerouting social security disability benefits onto prepaid cards, according to Identity Theft 911.

Nevertheless, the SSA should be more vigilant when verifying a recipient’s identity when making changes to his or her electronic account, suggested by a Los Angeles social security claim lawyers.