Medicare provides Medicare coverage. Medicare is a government-initiated program. The government provides money to citizens in their old age so that they may receive qualified medical care. The "Federal Supplementary Medical Insurance provides these benefits." (FMSI) According to the National Association of Medicaid Directors, the FMSI was created in 1965, which stated that the 50th anniversary of Medicare was a good time for Congress to make revisions and changes to Medicare, which will allow more people to receive coverage for doctors visits, hospitalization and other necessary medical services. The FMSI also helps low-income Americans by paying for some non-covered costs of health care charges such as emergency room visits and routine dental and vision services. (Medicare Essentials.com)
Social Security is also a government-initiated program, but it is managed by the Social Security Administration (SSA). The SSA has been managing this system since 1935. In 1935, President Franklin Roosevelt started this program as an act of Congress named the "Social Security Act." This act was initiated to help many Americans in need and to keep them financially stable. There are currently millions of Americans that are receiving universal and unique benefits from the SSA. (SocialSecurity.gov)
The Social Security Act of 1935 provided two types of retirement benefits: wage replacement insurance and retirement benefits. To qualify for these benefits, an individual must have reached the age of 65 or older, made sufficient wages, and paid enough taxes into the Social Security system. This act was initiated to provide wage replacement insurance when an individual reaches retirement age and a retirement benefit when an individual reaches full retirement age. The payout can be received in one lump sum or monthly payments over time.
Depending on the type of benefit that you receive from the SSA, many decisions will be made for you. The Social Security Administration (SSA) has established a set of regulations called "Social Security Regulations" that will define the period in which you can receive benefits from your Social Security and Medicare programs. These regulations are used by the SSA to determine when an individual may start receiving benefits and when an individual may stop receiving benefits for those eligible for these programs. These regulations can be applied to individuals and those currently receiving benefits under the Social Security Act of 1935.
For an individual to be entitled to a Social Security benefit, they must have paid into the system enough taxes while working. These "primary contributors" to the Social Security system are called primary contributors and are also referred to as "Essential Beneficiaries." The SSA has established a list of individuals who meet these criteria and will be eligible for benefits in their retirement years. Some examples of these individuals are full-time employees, part-time employees who have worked long enough to qualify, self-employed individuals, and individuals with mandatory coverage under their employer's policy. Particular beneficiaries have also been added to the list of those who receive Social Security benefits. According to the SSA, general widows, widowers, and surviving divorced spouses are considered particular beneficiaries. When an individual dies without having enough money to support themselves in retirement, their family members can receive regular survivor benefits if they meet specific requirements set forth by the SSA. (SocialSecurity.gov)
For an individual to be eligible for Medicare benefits, they must be 65 or older, live in the United States or U.S. Territories, have limited income and resources, and be a citizen of the United States. A person is required to pay Medicare if they are not eligible for Medicare but are eligible for Social Security. According to the Affordable Health Care Act, people purchasing insurance under the health care exchanges will be required to purchase supplemental Medicare coverage if they do not already have it. Those applying for insurance must certify that they have Medicare coverage to be eligible for premium assistance tax credits and cost-sharing reductions. When an individual meets all of these requirements, they may receive regular Medicare benefits that cover hospitalization, doctor visits, and other qualifying medical expenses but may not cover everything. (Medicare Essentials.com)
The purpose of the Social Security Act was to provide financial support to those with insufficient income and to keep them financially secure until they reached their golden years. Although this act has been around for many years, there have been many changes throughout the years that have made this program easier to use and understand by its beneficiaries.