The Social Security Act was formed to protect retired workers amid the Great Depression

The Social Security System was created to protect Americans from economic disasters like the Great Depression

President Franklin Delano Roosevelt’s New Deal created new government agencies and programs in the wake of the Great Depression.

See a poster that was created to help publicize the Social Security Act.

The Depression-era Social Security program assigned every US citizen an account number

Many of the Social Security functions we know today are the result of multiple amendments to the Social Security Act that have been passed in the years since the act’s initial creation in 1935. As Social Security as we know it today was being conceptualized, Democrats opted to make it an insurance program rather than a welfare one to assuage Republicans.

The New Deal shifted economic and social authority to the federal government

Franklin D. Roosevelt's response to the Great Depression expanded federal power through economic regulation and social welfare programs, permanently reshaping federalism by shifting responsibility for financial security to Washington while leaving states to administer many of these programs.

The 1935 Social Security Act drew inspiration from European social insurance models

Many of these, such as German Chancellor Otto von Bismarck's 1889 retirement system, emerged decades before America adopted them. This article dives into the modern history of economic security and the key legislation that created Social Security.

Social Security supports retirees, the disabled, and survivors

The Social Security Administration is responsible for more than just retirement benefits. Outside of the more well-known use case of retirement benefits, the SSA is also responsible for disability, family, and survivor benefits, supplemental security income, and more.

The National Housing Act established the Federal Housing Administration

During the Great Depression, 1,000 homes were foreclosed on per day, and half of the mortgages across the country defaulted. To address this crisis, President Franklin D. Roosevelt signed the National Housing Act. It established the Federal Housing Administration, which is still around today and helps protect lenders and buyers.

Before Social Security, elderly Americans relied on family support, limited state pensions, or company-sponsored pensions

Before Social Security benefits were available to American retirees, they had to find other ways to get by. Pensions were only available to roughly 15% of workers, and most elderly Americans went without meaningful economic security.

During the Great Depression, the US government used photography to document rural poverty.

The iconic national park posters were created by New Deal artists hired through FDR's Works Progress Administration in the 1930s.

Social Security is one of the most popular government programs

In a recent Pew Research Center survey of US adults, 79% said Social Security benefits shouldn’t be reduced in any way. This view is broadly shared across ages, races, political affiliations, and income brackets.

Frances Perkins was the first woman in the US to hold a cabinet position

President Franklin D. Roosevelt named her the United States Secretary of Labor in 1933. In her cabinet seat, she not only helped establish the first federal minimum wage in the US, but also the Social Security Act.

Social Security’s financial operations are handled through two federal trust funds

One is called the Old-Age and Survivors Insurance trust fund, and the other is called the Disability Insurance trust fund. Combined, these two trust funds were valued at roughly $2.7T as of the end of 2024.

Social Security’s financial operations are handled through two federal trust funds

One is called the Old-Age and Survivors Insurance trust fund, and the other is called the Disability Insurance trust fund. Combined, these two trust funds were valued at roughly $2.7T as of the end of 2024.

Social Security funding is mandated by law, not budgeted each year by Congress

Unless Congress acts before the Social Security trust fund becomes depleted in 2034, its current revenues would cover 81% of Social Security benefits. However, that share would decline to 72% by 2099.

The Social Security Administration (SSA) accounted for 22.4% of all federal spending in 2024

The SSA is an independent executive branch agency that is primarily responsible for administering Social Security benefits. In fiscal year 2024, The SSA, ranking second among federal agencies in terms of total spending, behind only the Department of Health and Human Services.

FDR greatly expanded the authority and size of the executive branch

FDR expanded presidential power through the New Deal, World War II leadership, and direct communication with the public. He redefined the executive branch as an active policymaking force and established expectations for strong, interventionist presidential leadership.

Roughly 70.5 million Americans were enrolled in Social Security benefits as of December 2025.

The Fair Labor Standards Act, a 1938 law guaranteeing time off for full-time employees, led to the modern vacation.

Watch former Securities and Exchange Commission Chair Gary Gensler's 'Eras Tour' for the agency's 90th anniversary, a look back on the pivotal moments in the agency's history.

New Deal programs still shape mandatory federal spending today

Many of the largest items in today's federal budget—especially mandatory programs—trace their origins to Franklin D. Roosevelt's New Deal. This podcast explores how those policies reshaped federal spending and government responsibility.

Many of Dorothea Lange's most iconic photos were taken while she was working for a New Deal program.

The US government is legally allowed to borrow money from the Social Security Trust Fund surpluses as long as it issues Treasury bonds to the Trust Fund in return and repays those bonds with interest when Social Security needs the money to pay benefits.

Some politicians have argued that Social Security should be privatized

Specifically, some assert that diverting funds into self-directed retirement accounts should replace Social Security taxes and benefits to some extent in a privatized retirement savings system. This article details the pros and cons of privatizing Social Security.

Social Security beneficiaries have received cost-of-living adjustments almost every year since 1975

Until 1975, Congress had to act each time Social Security benefits were increased. The 1970s saw particularly high inflation rates that eroded the purchasing power benefits, leading to the change.

Social Security trust funds are expected to be unable to pay full benefits by 2035

Most US workers have 6.2% of their gross paycheck taken out for Social Security. The government requires employers to match that 6.2% as well, for a total of 12.4%. This video dives into the specifics of how Social Security functions from a financial perspective.

The Securities and Exchange Commission was created during the Great Depression to restore public trust in financial markets after the 1929 crash.

In 2019, Congress passed the Secure Act to reform key aspects of the US tax code

Key Secure Act provisions included raising the age at which mandatory distributions take effect (to increase saving), allowing larger catch-up contributions for older individuals, and allowing employers to directly match contributions in a Roth 401(k).

Passed in 2010 in the fallout of the Great Recession, the Dodd-Frank Wall Street Reform and Consumer Protection Act was the most significant financial reform since the Great Depression.

The Dodd-Frank Act increased banks' capital requirements and established the Consumer Financial Protection Bureau.

Does Social Security contribute to the national debt?

Social Security operates through a trust fund built from payroll taxes. When costs outpace revenue, as they have since 2021, the program redeems Treasury bonds to cover the gap. To repay these bonds, the government often borrows more money, indirectly adding to the national debt and impacting fiscal policy.

The Smoot-Hawley Tariff Act—which was passed during the Great Depression with the goal of reviving domestic industry—is among the most famous pieces of economic legislation in US history.

Franklin D. Roosevelt used radio to connect directly with Americans through his 'Fireside Chats'

Beginning in 1933, FDR harnessed the new medium of radio to explain policies and reassure the public during the Great Depression and World War II. His conversational fireside chats revolutionized presidential communication.

Social Security's model assumes more people are paying than receiving, but that's no longer true

As more Baby Boomers start collecting Social Security for more years than the system anticipated—and, simultaneously, birth rates trend down—the Social Security system is feeling the squeeze. When fewer workers pay into Social Security, there's less money overall for retirees to collect. Learn more about what's next for Social Security in this video.

Roosevelt formally recognized the Soviet Union in 1933

In 1933, President Franklin D. Roosevelt formally recognized the Soviet Union—ending 16 years of nonrecognition and aiming to improve trade and stabilize relations amid growing global instability.

To avoid a total collapse of the housing market, the US government took control of the two leading mortgage companies, Fannie Mae and Freddie Mac.

Franklin D. Roosevelt was the first president to use the term 'State of the Union'

In 1934, President Roosevelt became the first president to formally call the annual address the "State of the Union," replacing the older title "Annual Message to Congress" and using the language from the Constitution.

New Yorker John D. Sweeney Jr. was the first to receive a Social Security number

However, Sweeney died in 1974 having never received any benefits. Social Security numbers were first created to help track workers' earnings so Social Security benefits could be correctly administered.

Franklin D. Roosevelt's 1937 court-packing plan sought to expand the Supreme Court—and failed

Frustrated by Supreme Court rulings against the New Deal, Franklin D. Roosevelt proposed expanding the court in 1937. The failed plan triggered fierce backlash and is regarded as the last serious presidential attempt to alter the court's size for ideological ends.

Consumers reported losing more than $126M to Social Security scams in 2023

This article includes tips on how to spot a Social Security scam, including information about what the real Social Security Administration will and will not do. For instance, the Social Security Administration will never threaten someone with benefits suspension or bank account seizure if they do not comply with a request.

The maximum Social Security benefit is $5,181 per month as of 2026

A worker who has earned at or above the Social Security taxable maximum for at least 35 years and delays claiming until 70 can receive up to $5,181 in monthly benefits. Delaying claiming Social Security until 70 (rather than 62, the earliest age one can receive benefits) results in a higher monthly benefit.

The 2025 Social Security Trustees Reports reaffirmed that beneficiaries will be paid 100% of total scheduled benefits until 2033

Specifically, it noted that the Old-Age and Survivors Insurance Trust Fund will be able to pay 100 percent of total scheduled benefits until 2033, which was unchanged from the previous year’s report.

A work-free retirement is a relatively recent development in human history

Though it looks different in other countries, economic historians trace retirement's rise in the US to a growth in personal income through pensions, GDP, and Social Security.

The 22nd Amendment was a reaction to Roosevelt's four terms

After Franklin D. Roosevelt won four elections, Congress moved to prevent future presidents from holding power indefinitely. Ratified in 1951, the 22nd Amendment set a firm two-term limit as a safeguard against extended presidencies.

FDR changed the date of Thanksgiving, then changed it back

In the waning years of the Great Depression, President Franklin Delano Roosevelt attempted to move Thanksgiving up by a week, giving merchants a longer holiday shopping season. After pushback from lawmakers, he reversed course in 1941, permanently fixing the date of Thanksgiving on the fourth Thursday of November.

The Great Depression is one of history's most notable periods of deflation

The stock market crash of 1929 helped trigger a period of deflation in the United States by creating a drastic decrease in the total money supply. Because of the United States' central role in the world economy, virtually every single country was impacted by the recession.

Debunk common myths about Social Security

Myths include the pervasive ideas that undocumented immigrants drain Social Security, members of Congress don't pay into Social Security, the program itself is “going broke,” and more.

Franklin D. Roosevelt's 1941 speech framed World War II as a global fight for universal rights

Eleven months before the attack on Pearl Harbor, President Roosevelt outlined four fundamental freedoms that, in his words, people "everywhere in the world" ought to enjoy—speech, worship, freedom from want, and freedom from fear.

Roughly 22% of US tax dollars go to Social Security

Social security is the US government’s largest expense. You can see other government expenses in a visual breakdown of what one US tax dollar actually pays for. Total spending amounts were converted to cents on the dollar and percentages.

FDR's Good Neighbor policy reversed the interventionism that had grown from the Monroe Doctrine

Franklin Roosevelt pledged in his 1933 inaugural address to be a "good neighbor" to Latin America and to oppose armed intervention by American forces. His administration withdrew troops from previous occupations and signed a multilateral agreement stating that no state has the right to interfere in another's affairs.