Social Security concerns discussed in Chester presentation

State Rep. Jacob Bachmeier, D-Havre, who is working for Big Sky 55+ as a political and advocacy organizer, held a presentation Tuesday for Big Sky 55+ at the Chester Senior Center to discuss some of the facts and misconceptions people may have about the Social Security system and what they should keep in mind when thinking about Social Security. 

"I want people to walk away knowing that Social Security is something they have earned and that the Social Security system is much more solvent and strong and efficient than people are aware of, rather than 'Is Social Security going to be around in the future?'" Bachmeier said in an interview after the presentation. "We need to be talking about what are we going to do to strengthen Social Security in the future."

A fact sheet from Social Security Works, a non-profit organization which has partnered with Big Sky 55+, says that in 2017 Social Security provided benefits to 228,685 Montanans, 21.8 percent of residents in the state. It added that, in 2017, Social Security benefits totaled $3.3 billion for the state, 6.6 percent of the state's total personal income, and the average annual Social Security benefit for Montanans was $14,430.

In 2018, 74 percent of people in Montana who received Social Security benefits were people who retired from the workforce, the second-highest recipients from Social Security benefits were disabled workers, who made up 11 percent of all recipients, the fact sheet said.

Bachmeier said after the presentation that Social Security is something most people are in support of, and prior to setting up the presentation in Chester he spoke with a few local residents and the majority of the people he spoke to said they wanted to hear more information about Social Security. He added that Social Security is only one of a number of issues Big Sky 55+ advocates for. It also advocates for health care, prescription medication and economic security for people who are 55 years old or older. Big Sky 55+ advocates and lobbies to communicate with local politicians, state legislators and congressional delegates. 

Bachmeier added that one reason Social Security is an important conversation in Montana is because Montana is one of five states in the country that taxes Social Security benefits. He said that it is important for people to push their local legislators to eliminate this tax, although it may come with some difficulties. 

Montana has a balanced budget amendment, which means that every legislative session the Legislature has to balance the budget for the state, he said. In the past, such as the 2017 legislative session, the Legislature has had to hold a special session to balance the budget for the state. Bachmeier said that the loss of this tax revenue could prove to be difficult for the state, but the state cannot tax people's Social Security benefits, It is money they have worked for and earned.

"This can all be traced back to when Montana eliminated the capital gains tax under the Martz administration," Bachmeier said, referring to Republican Judy Martz, who was the first female governor of Montana and signed into law a bill to cut the state capital gains and income taxes. "After that elimination of the capital gains tax, our state's fiscal condition quickly dwindled and we've had to tax working Americans and working Montanans on issues like Social Security, and we think that's wrong."

According to a study done by Social Security Works in 2017, 2,755 people in Hill County receive some kind of Social Security benefit, $40,620,000 in total annual benefits. In Blaine County 1,215 people received Social Security benefits, totaling $16,068,000 in benefits. In Liberty County 405 people receive Social Security benefits, totallng $6,156,000 in benefits. In Chouteau County 1,235 people receive Social Security benefits, totaling $18,456,000. The study added that more than half of the recipients in those countries are retired workers.  

Bachmeier said that Big Sky 55+ is already working with a number of legislators and sponsors to introduce a bill to remove the tax on Social Security benefits in the Legislature next legislative session.

Susan Caffman, who is a member of the Liberty Council on Aging, said after the event that she was very happy with the presentation and thought it was very informative. She added that she and her husband have recently started using their Social Security benefits and is concerned about the taxation of the benefits.

"My husband and I both wondered why are we taxed when we earned Social Security, we've worked for 65, 66 years?" she said. "Why is that money taxed?"

She said she still wants more information about Social Security and Medicare and, as a member of the Council on Aging, she wants as much information as possible to help make people's lives better.

Arlo Skari said after the event that he believes it is important that people learn and get as much information about Social Security as possible. He said that the country has a disproportionate disparity in wealth, and elderly and retired people rely on Social Security for their livelihoods.

After World War II, veterans received about $150 from the GI Bill, he said, adding that in the 1940s and 1950s $150 went a lot farther in supporting someone, but, in today's world, it is impossible to support a life or graduate from college for $150. 

He added that Social Security is not like a number of other government programs and does not pull from the federal government's general fund. Social Security is money that people paid into the program and deserve getting it back in full when needed. Skari said that Social Security is the money people earned and the federal government has no right to make cuts or subtract in anyway the benefits people are entitled to.

Former President Franklin D. Roosevelt started the Social Security program, as well as a number of other programs to keep the people in the country out of extreme poverty, he said. Social Security still does what it was originally intended to do and keeps millions of people across the country from having to face extreme poverty in their old age.

"I think it is very important for people to stay up to date with information and do the right thing," he said.

During the presentation, Bachmeier showed a video from Social Security Works, in which a member of the organization said that experts expect that funds and benefits for Social Security will have a drastic drop in services by the year 2035. He said that some people in the federal government believe to avoid this drop of services the government needs to start cutting back services now, but that is not going to solve the problem but could cause problems a lot sooner. He said a solution some politicians and experts are looking into is possibly taxing particular groups more and widening the scope of Social Security, so everyone pays their fair share into Social Security. He added that this alternative could eliminate the problem with Social Security services being cut and be able to provide people with more benefits.

Bachmeier said that by looking at long-term projections for Social Security it is easy to see it as a weak program, but it is an important program that supports millions of people across the country. He added that it is a program that needs to continue and politicians and lobbyists need to look into the best way for Social Security to continue.

He said that Big Sky 55+ is a 501(c)(3) organization and has more than 1,000 members across the state. He added that Big Sky 55+ is centralized in Yellowstone and Cascade counties, although it is working to expand into rural Montana.

Big Sky 55+ works to recruit, advocate and represent people who are 55 years and older and put them in contact with political officials to hold governing bodies accountable, Bachmeier said.

For more information about or to join Big Sky 55+ people can go to the group website at https://www.bigsky55.org .