The Social Security Administration has failed on disability oversight, the former commissioner’s remarks notwithstanding.
On Wednesday, former Social Security Commissioner Michael Astrue left the position he has held for six years. On Thursday, he was interviewed by the Associated Press. While many of his criticisms of Congress were right on track and are worth reading — particularly how Washington’s politicians and special interests have not done what is right and moral with regards to making Social Security solvent — Astrue left much to be desired in his optimistic assessment of the Social Security disability court.
To start, Astrue praises the Social Security Administration’s (SSA) efforts to make getting on Social Security Disability rolls difficult. Yet the Government Accountability Office (GAO) found in August 2012 that poor communication between the Labor Department and SSA allowed for over 100,000 people to “double-dip” each year with the SSA Disability payments and unemployment benefits.
Astrue also says few people who don’t deserve benefits received them: “Very few of those people actually ended up getting benefits. If you look at the numbers, it’s one of the reasons why our approval rates have dropped dramatically in the last few years.”
This statement ignores how between 2006 and 2010, according to an investigation led by Sen. Tom Coburn (R-Okla.), 25 percent of disability claims were awarded improperly. (One caveat: The Senate report was limited to examining 300 cases in three states.)
How is this kind of abuse so widespread? Senator Coburn says it is because the SSA pushes judges to approve too many cases too quickly (Astrue says 500 per year is the goal for each judge, and he does not consider that too many). However, Forbes contributor Richard Finger points out what perhaps is the biggest problem: the complexity of the system.
For instance, he lists too many “disabilities” to count (the piece is worth reading for that reason alone), but here are a couple of results:
The numbers substantiate a shift to these hard to (dis)prove afflictions. Over the past three decade’s [sic] awards for mental illness climbed from 16% of total claims to one third by 2010. During the same period “back pain” increased its market share from 13 to 28%. It is a system begging for abuse. A study by the NBER (National Bureau of Economic Research) found that for workers with low paying jobs, SSDI including Medicare replaced, on average, 90% of working income. (SSDI recipients get free Medicare after two years of receiving benefits.)
Unfortunately, even honesty doesn’t always solve the problem, and many people work while they receive disability payments:
Much of the ongoing program cheating comes from those who continue to collect disability payments but are stealthily employed on the side. Not surprisingly, some of the SSDI wounds are self-inflicted. The SSA loses hundreds of millions continuing to pay those who were honest and notified that they were returning to work. The agency is supposed to conduct CDR’s or Continuing Disability Reviews to check in and determine the status of the disabled. I know it surprises everyone that there is a huge backlog and SSA is severely understaffed in this area.
According to Finger, over three-quarters of recipients leave the program upon reaching retirement age or death:
Of the 653,877 souls that departed the program in 2011, 36% departed by being gracious enough to die, while 52% reached retirement age and seamlessly switched to other benefits. Only 6% returned to work and 3.6% exited the program due to medical improvement. According to Congressional Research Services this program cost taxpayers $128.9 billion in 2011 and was in deficit to the tune of $25.3 billion. Funded by the 1.8% payroll tax and comprising nearly 18% of all social security spending, at current pace the trust fund may be exhausted by as early as 2015.
None of this is small change, though SSA as a whole only had a 0.39% rate of improper payments in 2010, much lower than that of Medicare and Medicaid. For good or ill, however, disability fraud in Social Security may decrease significantly in 2016, which is when the SSA Trustees estimate the Disability Trust Fund will run out, and will require fiscal changes of $30 billion annually to stay solvent.
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Jack in Wi| 2.19.13 @ 6:44AM
There are way too many young people on disability. Many work for cash and live pretty well. There never was an end to welfare as we know it. Instead the welfare loafers were put on DSSI and SSI. Disability insurance from the government should be like disabilty payments from private insurance companies. The goal would be to get people back to gainful employment. End Immigration now. Way too many immigrants are on disabilty milking the system. SSI is another case of abuse. I used to live in a neghborhood with a lot of Russian Jews. almost all the old people who came over were put on SSI from the time they got off the boat. The same is true of other connected immigrant groups like Asians. Lets go back to the old rule of having sponsers for immigrants, with the sponsers being responsible for their financial welfare. No more bring in unhealthy people like
aids patients to suck up Social Security and medical benifits. If we are going to have immigrats let them be young, heathy, and educated. Better yet with 20 million unemployed let no-one in.
markenoff| 2.19.13 @ 12:49PM
Yeah, it's those connected immigrant groups that are the problem. No native born American would lie to get on SSDI.
Jack in Wi| 2.19.13 @ 1:37PM
Markenoff: I mentioned many groups, not just connected immigrants. I am sorry if you were offended.
markenoff| 2.19.13 @ 1:55PM
You're right about connected immigrants, especially Kenyans apparently:
http://skeptics.stackexchange......sed-govern
http://rt.com/usa/news/obama-d.....uncle-197/
Albert Constantine Jr.| 2.19.13 @ 5:27PM
"Lets go back to the old rule of having sponsers for immigrants, with the sponsers being responsible for their financial welfare."
This hasn't stopped, it just isn't (and I'm not certain that it ever was) enforced. As a result, people are required to sign forms that say an immigrant will not be a public charge for five years, but there is no penalty to the sponsor or immigrant if they do.
In fixing our immigration system, this should be the first thing reformed for both legal and illegal immigrants; anyone who comes may not collect benefits for five years, and payback of all benefits illegally collected or otherwise obtained via anchor babies, etc.
That might slow down those who come here to live off the work of others, while allowing those seeking freedom (as opposed to free stuff) and opportunity will still be able to do it, as long as they work for it themselves.
TLP| 2.19.13 @ 7:27AM
I have an idea!
Let's have these very same people, RUN OUR HEALTHCARE.
Yes?
And, let's get the Very Same People who STOLE TRILLION$ from our Government Imposed Retirement Fund (Social Security) to oversee all of theses New Trillion$, so that we know it'll be there when we need it.
This Country has become Gotham City.
In the Movie: Batman Begins - Bruce Wayne returns to Gotham, after having spent years abroad. He's brought a gun with him to Kill the Man who murdered his Parents. As he sits in the Courtroom, he watches as that man - who admits to the Crime - be given a slap on the wrist in a Government Arranged Leniency Deal, for "Future" Testimony.
After the Court Scene, Wayne leaves with Rachel Dawes - A District Atorney, with her Roots in "The System". When Wayne displays the Gun he brought, Ms. Dawes excoriates him, and assures him that THE SYSTEM will take care of everything. Whereupon Bruce Wayne says: "Your System is Broken".
Where's Batman when you need him?
Our System is Broken.
Every one of our Major Cities is Gotham. Poor. Corrupt. Run by Corrupt Politicians making Deals for themselves, in dimly lit Back Rooms. Not a day goes by that another Democrat Pol isn't brought up on Corruption Charges, or Worse.
Jesse Jackson Jr. Rod Blagojavich, Ray Nagin, Charlie Rangel. Everybody knows that Harry Reid is a Crook. Crooked Land Deals. Million$ in his pockets, for Land he hadn't owned for 3 YEARS. In the Pocket of the Vegas Mob
TLP| 2.19.13 @ 7:58AM
They Lie to our faces, and to a Sychophant Press who are only too eager to send those Lies around the World.
They made Insider Trading LEGAL, but just them. They Pay their Taxes, only if they feel like it. (Rangel) Take Rent Controlled Apartments - set aside for The Poor - for themselves. (Rangel)
They Steer Million$ in Taxpayer Money to the Companies their Spouses are Employed by, from their lofty positions on the Appropriations Committees. (Feinstein) And, they remove themselves from those Committees, once their Spouses Retire. (Feinstein) Mission Accomplished.
They push for Organized Labour for Everyone, unless they happen to be a Democrat Leader who has some Restaurants and Vineyards in California. (Pelosi) Or, they have friends in Hollywood, and like to film in Canada, so they don't have to pay Union Scale.
Our Government has abandoned our Founding Fathers, our Founding Documents, and our Founding Principles. The Rule of Law has become "Whatever I say it is, at any given moment".
We have a Commander in Chief who'd rather be at a Party, than make a decision to save our people who are under attack. A Treasury Nominee who couldn't be DIRTIER, if he just got off the boat from Sicily, and was looking in Queens for the Bonanno residence. A Gun Running President, and a Racist A.G. Forged Documents, Illegal Drilling Moratoriums, and Unconstitutional Reccess Appointments.
And, they all just got REELECTED.
The Hell with Batman.
Where are The Avengers!
Jacob McCandles| 2.19.13 @ 11:30AM
You cannot disprove mental illness. Bipolar disorder can be claimed by anyone who has just a little coaching. Low back pain is just as easy. Get an MRI, there will almost always be an abnormality such as "bulging disc". These are very very common and usually do not cause problems (not to be confused with disc herniation which is usually causing symptoms).
So: if you want SSD, you can get it regardless of your medical condition.
Go get Binder and Binder or some other sleaze bag lawyer and you are well on your way to a lifetime on the dole.
Bob K| 2.19.13 @ 12:37PM
Social Security Disability is the Insurance part of Social Security. It is one of the major reasons that Social Security is going broke.
Basically it has devolved into a legal racket designed to give lawyers work. It resembles in this respect the Workman's Compensation legal rackets in many states.
When the case the lawyer files on the appeal of denial of benefits is successful, as it is in 99.9% of the cases, the lawyer gets (by law he is limited to it) 20% of the proceeds of the back due payments from the date the claim was filed and denied. This can cover several years payments. It's an easy buck for the lawyers, many of whom previously worked for Social Security as lawyers.
markenoff| 2.19.13 @ 1:03PM
Does SSDI stimulate the economy as much as unemployment? Someone ask Nancy Pelosi.
cicero| 2.19.13 @ 1:19PM
By the time these folks are finished, they will be wealthy beyond anyone's imagination, while the country and its fisc will have collapsed. At least Ceasar had the sense to plunder Gaul. These guys plunder their own country. This is always the problem with a democracy. They can steal as much as they can cart away, as long as they leave some crumbs to scatter around for the majority to think they got some free stuff.
The SSI and the SSD are merely a continuation of unemplloyment compensation. Without switching the takers onto the SS system, they might get really pissed off when there are no jobs for them to go back to. They might then have to consider why that is, after 4 years of this administration. By the time another 4 years go by, these thieves will be gone, and safe in their gated communities. They will be safe from the masses who will be storming anywhere they can to get the bread they think they are still entitled to.
C'mon Man!| 2.19.13 @ 2:27PM
My ex is on SS disability, and still makes over $1600/mo! That's in addition to the half of my income she gets, it's all a scam. Her "disability" is allegedly stage 4 breats cancer, of which only 5% survive, but she has survived for over 8 years. She assuredly is in that 5%. If you didn't catch the sarcasm, she is a liar and you and I are paying her - me a bit more than you.
Sad.
Hardcard| 2.19.13 @ 2:50PM
No comment. mike asstrue commissioner !
Rifleman| 2.19.13 @ 4:32PM
I agree that the SS disability program is broke and needs reforming (as do most government programs). I am 55 years and have had to apply due to degenerative disk disease. My knees are shot along with my back. I have been working as long as I can (I've worked since I was around 14 part-time). It is NOT easy, at least for me, to get approved. The time wait discourages most people (which can be good or bad). But the biggest issue I've seen in the jump in "mental illness" claims. I've seen many who carry on normal lives but somehow got approved claiming this. On the first phase of SS Disability the denial rate is 85%, on appeal it's not much better, Only when you carry it through to the stage where you go before a judge does the approval rate increase. But that step usually takes up to 2 years.