DON'T GET SICK
Cuts in disability benefits seen in Social Security plan
By Leigh Strope, Associated Press | January 18, 2005
WASHINGTON -- Disability benefits may not be safe from the across-the-board cuts that are likely in President Bush's proposal to allow personal investment accounts in the Social Security program.
Retirement and disability benefits are calculated using the same formula, so if future promised retirement benefits are cut, then disability benefits also would be reduced -- unless the program is somehow separated.
This raises big questions about how investment accounts would be structured for the disabled, especially if they are injured at a young age or are dependent on a parent. Disabled beneficiaries typically work less and need benefits sooner, so the accounts would not provide enough income to them.
"The Social Security programs are insurance programs, not investment programs, designed to reduce risk from certain life events," said Marty Ford of the Consortium for Citizens With Disabilities.