National Urban League

National Urban League Policy Institute WebinarWhy Social Security Matters To African Americans

Thursday, June 28, 2012

National Urban League

MODERATOR

Valerie Rawlston Wilson, Ph.D.

Vice President, Research

National Urban League Policy Institute (NULPI)

National Urban League

AGENDA

Moderator: Valerie Rawlston Wilson, Ph.D., Vice President, Research, NULPI

 

Panelists: Opening Remarks: Chanelle Hardy, Executive Director, NULPI

Remarks: Darnell Williams, 1st Vice Chair, Association of Urban League Executives

Remarks: Jennifer Clark, Income Security Project Coordinator, NASI

Perspective from NUL Young Professional: Brandi Richard, President, NUL Young Professionals

NULPI Survey Findings: Valerie Rawlston Wilson, Ph.D., Vice President, Research, NULPI

National Policy: Dan Adcock, Director of Government Relations and Policy, National Committee to Preserve Social Security and Medicare

Next Steps –Messaging: Hilary Doe, Vice President, Programming & Operations,

The Roosevelt Institute Q & A

National Urban League

Chanelle P. Hardy Esq.

Senior Vice President and Executive Director

National Urban League Policy Institute (NULPI)

National Urban League

Darnell L. Williams

First Vice Chair – Association of Urban League Executives

President and CEO

Urban League of Eastern Massachusetts

National Urban League

Jennifer Clark Income Security Project Coordinator

National Academy of Social Insurance (NASI)

National Urban League

Brandi RichardPresident

National Urban League Young Professionals

Preliminary Findings from NULPI-YP Social Security/Personal Financial Security Survey

Valerie Rawlston Wilson, PhDVice President of Research

National Urban League Policy Institute

National Urban League

• Predominantly female (71.2%)• Highly educated -- 91.7% have bachelor’s

degree or higher• Most are age 26-35 (67.8%) – middle of YP age

cohort of 21-45• Most are single/never married (80%)

Demographics of Survey Respondents

Perceptions About the Strength of Social Security

3%

55%

42%

a) Social Security will be available at its current level or better when I retire.

b) Social Security will be available, but not at its current level--I will have to work a lot longer to get much lower retirement benefits.

c) Social Security WILL NOT be available when I retire.

Have you or anyone in your immediate family ever received Social Security benefits?

a) Yes, Retirement benefits

b) Yes, Disability benefits

c) Yes, Survivor benefits

d) No e) I don't know

44.8%

27.5%

16.0%

35.0%

6.0%

How often do you provide financial assistance to a family member receiving Social Security?

a) Never; 51%

b) 1-2 times in a year; 16%

c) 3-5 times a year; 13%

d) More than 5 times a year; 20%

Policy Attitudes – Extend Payroll Tax Holiday?

60%

40%

a) The payroll tax break should be allowed to expire at the end of this year, as scheduledb) The payroll tax break should be extended beyond the end of this year

Policy Attitudes – Proposals to Extend Solvency

Eliminate the cap on Social Security payroll contributions so that earnings above $110,100 are taxed as well

A small and gradual increase in the payroll tax rate paid by both workers and employers

Increase the eligibility age for full retirement benefits above age 67

Reduce the Cost of Living Adjustment (COLA)

0.0% 20.0% 40.0% 60.0% 80.0% 100.0%

78.5%

47.8%

22.6%

23.9%

8.7%

32.8%

66.3%

48.8%

12.8%

19.4%

11.1%

27.3%

I don't know Disagree Agree

Policy Attitudes – National Economic Priorities

Generating robust economic growth and job creation, even if it means increased spending

Reinforcing the financial stability of social insurance programs like Social Security the provide important economic support to all working

Americans

Avoiding any tax increases at the end of the year

Reducing the national deficit through a combination of spending cuts and tax increases

0.0% 10.0% 20.0% 30.0% 40.0% 50.0%

42.9%

12.2%

17.9%

17.3%

16.6%

35.4%

19.6%

22.6%

18.3%

33.9%

30.1%

29.2%

22.2%

18.6%

32.4%

30.9%

4 3 2 1

How confident are you that your current retirement planning strategy will sufficiently fund your retirement?

a) Not confident at all; 34.8%

b) Somewhat con-fident; 51.6%

c) Very confident; 13.6%

Do you have a private disability or life insurance policy?

3%

31%

17%

49%a) Yes, I have private disability insuranceb) Yes, I have private life insurancec) Yes, I have bothd) No, I do not have either

a) An employer-provided pension or defined-benefit

plan

b) A private defined-con-tribution plan (e.g. 401k,

403b, IRA, etc.) that I fully fund

c) A private defined-con-tribution plan with em-

ployer contributions

d) I do not have a re-tirement savings plan

38.6%35.8%

44.1%

17.3%

Participation in Retirement Savings Plans

Eligibility for Employer Matching

25%

65%

10%

a) Yes, but not enough to receive the max-imum match allowedb) Yes, and I receive the maximum match al-lowedc) No

Income & Wealth

$0-$24,999

$25,000-$44,999

$45,000-$64,999

$65,000-$84,999

$85,000-$104,999

$105,000 or more

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

30.0% Annual Income

$0-$49,999 $50,000-$99,999

$100,000-$149,999

$150,000-$199,999

$200,000-$499,999

$500,000 or more

I don't know0.0%5.0%

10.0%15.0%20.0%25.0%30.0%35.0%40.0%45.0%50.0%

Net Worth

Assets

a) Yes39%

b) No61%

Homeowner

a) Yes62%

b) No38%

Other assets

Debt

a) Student Loan b) Mortgage c) Auto Loan d) Credit Cards Other (please spec-ify)

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

80.8%

35.6%

43.5%

69.7%

6.2%

Access to Financial Planning Services

a) Yes16%

b) No84%

Do you have a will or liv-ing trust?

a) Yes64%

b) No36%

Have you ever taken a financial literacy course?

a) Yes35%

b) No65%

Do you have a financial planner or an accountant?

Conclusions

• Lack of confidence in Social Security, but clear evidence that it is and will be important

• Policy attitudes are consistent with majority of Americans

• Hopefully, participation in the survey has led some to think about plans for the future & the important role Social Security plays

National Urban League

Dan AdcockDirector of Government Relations and Policy

National Committee to Preserve Social Security and Medicare

National Urban League

Hilary DoeVice President

Programming and OperationsThe Roosevelt Institute

National Urban League

Q & A ?

National Urban League

On Behalf of the National Urban League Policy Institute

THANK YOU FOR PARTICIPATING IN THE WEBINAR !

Download Why Social Security Matters to African Americans brochure at

www.iamempowered.com/departments/policy-institute