Social Security Benefits Not Enough for Retiring Low Wage Workers
Social Security benefits are helping narrow the wealth gap between low wage earners and high wage earners, according to research from The New School Schwartz Center for Economic Policy Analysis. However, the increase in wealth as a result of Social Security benefits will not be enough to sustain many low wage workers. The study found that 40 percent of low earning, middle age workers between the ages of 50 and 60 are expected to live in poverty in retirement. Researchers suggest that the increase in full retirement age from 65 to 67 will only perpetuate this problem and will result in a 13.3 percent benefit cut overall.