Final answer:
Yes, the Social Security Act remains active and continues to provide benefits to over 48 million Americans, playing a crucial role in financial support for the elderly, disabled, and families with dependent children. It's funded through payroll taxes and aims at offering a form of economic security and reducing poverty among the elderly.
Step-by-step explanation:
The Social Security Act is indeed still around today. Originally established in 1935, Social Security provides critical financial support to a wide array of Americans, including the elderly, disabled individuals, and families with dependent children.
In fact, it now provides benefits to over 48 million Americans and serves as a vital source of income, sometimes being the only source of income for a substantial percentage of the aged population.
The program, which is funded through taxes paid by employers and employees, has been subject to debate, with concerns about the sustainability of the system as a growing number of Baby Boomers reach retirement age.
Despite these controversies, Social Security remains one of the oldest and largest pieces of social welfare policy in the United States, having a lasting impact on reducing elderly poverty rates and providing financial security to those who are no longer in the workforce.
Given the significant role Social Security plays in economic survival for many Americans, it represents an ongoing commitment to the nation's social safety net.
The benefits structure is designed to replace a certain percentage of a worker's pre-retirement income based on their lifetime earnings, with lower-income earners receiving a higher proportion of their previous wages in benefits compared to higher-income earners.