Bipartisan group of lawmakers propose bill requiring Social Security Administration to send mailed annual statements to more workers

Personal finance

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A new bipartisan bill proposed in Congress would require the Social Security Administration to once again mail annual statements to everyone ages 25 and over who have paid into the system.

The bill, called the Know Your Social Security Act, was proposed on Thursday by Republicans and Democrats in both the House and Senate. They include Reps. John Larson, D-Conn., and Vern Buchanan, R-Fla., as well as Sens. Ron Wyden, D-Ore., and Bill Cassidy, R-La.

The Social Security Administration since 2011 has only sent out paper statements on a limited basis. Those who still receive annual mailed paper statements include people who are ages 60 and up who are not receiving benefits and have not signed up for an online My Social Security account.

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The proposal calls for requiring the Social Security Administration to mail annual statements to all workers ages 25 and up who are paying into the system but not yet collecting benefits.

By receiving those statements, workers will be able to see how much they’re contributing to Social Security and Medicare, as well as how much money they are eligible to receive through disability, retirement and survivor benefits.

Receiving the annual statements will help workers make sure their earnings record with the government agency is accurate. It will also help them plan for retirement, Larson noted.

“All workers deserve to have a full understanding of what they’re contributing to Social Security and what they can expect to receive,” Larson said in a statement. ”This will help workers, and especially millennials, plan for retirement.”

The bill will allow prospective beneficiaries to choose to instead receive their annual statements electronically.

Just about 2 in 5 people with an online My Social Security account accessed their annual statement in 2018, according to a review conducted by the Social Security Administration’s Inspector General.

In 2020, the Social Security Administration mailed statements to approximately 19 million individuals out of a total of about 180 million workers who have contributed to the program.

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