Sad, but true. In a sense we are entitled to it once a certain age is reached, so maybe that’s where the idea comes from. Can a person receive SS benefits if they have never worked for an employer who deducts this from the paychecK? Self-employed people are not entitled to it - so most set up private IRA accounts for their retirement. We never get a return on what we paid into SS - they continue to rip off the American public with what they “entitle” you to receive each month. And, yes, it is a ponzi scheme.
Self-employed workers must pay into SS, paying both the individual and employer's shares. They are not exempt from SS.
A few minor corrections:
1) Yes a person who never paid into SS can receive benefits - based on being a survivor of someone else who did pay in.
2) Self employed do pay into SS, their tax rate is 12.4%. 6.2% from yourself like everyone else and 6.2% from your employer which in this case is also yourself. This is true for the first $117,000
see http://www.ssa.gov/pubs/EN-05-10022.pdf for more details.
Self employed people pay both the employer and employee sides of SS in taxes.
I know since I run a one man business - me.
I’ve paid over $150,000 into SS over my lifetime and if I start drawing at 62 I’ll pull every dime out in less than 9 years - by 71 years old.
Most people in my family live well into their 80’s.
What a crock...
Self employed people have to pay both the Employee part and the Employer part.
Self employed people pay in both sides of it (self-employment tax), not just half.