How Does the Social Safety Claiming Course of Differ by Race?

Retiring child boomers are growing the demand for companies from the U.S. Social Safety Administration (SSA) at a time when price range constraints and retiring workers are limiting the company’s capability to ship them.  Utilizing on-line companies – quite than contacting a consultant – provides a approach for SSA to fulfill elevated demand with fewer sources.  Nonetheless, prior CRR survey analysis suggests that just about two-thirds of retirees contact SSA in particular person or by cellphone throughout their claiming course of and non-White people are extra seemingly to take action than White people.  Utilizing these identical survey information, this temporary explores whether or not racial variations exist in when and why people contact SSA.

The dialogue proceeds as follows.  The primary part critiques the CRR’s 2021 survey on people’ claiming course of.  The second part examines whether or not the survey information present any racial variations in when folks attain out to SSA representatives.  The third part explores any racial variations within the explanation why folks contact the company.  The fourth part appears on the racial affect of insurance policies designed to scale back the necessity to work together with SSA.  The ultimate part concludes that the racial variations within the timing and causes for reaching out to SSA are small in comparison with variations within the share that select to contact SSA in any respect.  That stated, insurance policies that cut back the necessity to contact SSA to acquire primary data or right information errors might cut back racial variations in touch charges.  

In 2021, the CRR surveyed roughly 2,600 older people about their current or meant course of for claiming Social Safety retirement advantages.¹Particularly, the CRR survey was administered to older people in NORC’s AmeriSpeaks Survey Panel from Might to June of 2021.  The survey focused people ages 62-70 who claimed retirement advantages within the final 5 years and people ages 57-70 who meant to use inside the subsequent 5 years.  In whole, the survey contained about 1,600 current retirees and 1,000 close to retirees.  Importantly, the survey pattern adequately displays the nationwide demographics for older people (based mostly on a comparability to the 2020 Present Inhabitants Survey).  For extra particulars, see Aubry and Wandrei (2021).  The survey contains questions on the general claiming technique of respondents, together with their interactions with SSA earlier than, throughout, and shortly after claiming.  In consequence, it supplies a complete image of the claiming expertise of respondents: the claiming path taken, the obstacles encountered, the self-reported causes for his or her chosen path, general satisfaction with the method, and options for enchancment.²For instance, the survey captures whether or not a respondent communicated with SSA on-line, on the cellphone, or in-person earlier than, throughout, and/or after claiming their profit, and the particular explanation why. Additionally, if a respondent claimed on-line, the survey asks whether or not they did so at dwelling, at a subject workplace utilizing an SSA desktop or kiosk, or at a public location (e.g., a library).  And, for individuals who didn’t declare on-line, the survey prompts respondents for particular causes – equivalent to an error involving their identify, age, and/or work historical past within the SSA system or just a lack of information of the net choice – in addition to permitting for open-ended responses. 

The CRR’s preliminary evaluation of the survey responses discovered that just about two-thirds of respondents contacted (or meant to contact) SSA and that those that contacted SSA had been extra more likely to be non-White (see Determine 1).  The strong bars for the Black and Hispanic classes point out a statistically important distinction from Whites.  This temporary makes use of the identical survey to concentrate on whether or not racial variations exist in when and why people contact SSA.

Whereas non-White people are extra seemingly than Whites to contact SSA at the very least as soon as throughout their claiming course of, it isn’t clear whether or not the patterns of contact differ by race/ethnicity.³A number of research within the final 10 years have highlighted racial variations in sources of details about Social Safety and data of Social Safety guidelines that may contribute to variations in when and why people contact SSA throughout their claiming course of.  See Carman, Atshan, and Williams (2023); Knapp and Perez-Arce (2022); Peterson, Smith, and Guan (2019); Rabinovich, Peterson, and Smith (2017); and Yoong, Rabinovich, and Wah (2015).  Determine 2 reveals that – amongst those that contact SSA – the chance of interacting with SSA throughout every part of the claiming course of is sort of related throughout race.  Whereas Black people are a bit extra more likely to contact SSA throughout every part than Whites, not one of the variations are statistically important.  Equally, though the sample for Hispanics can also be a bit totally different from Whites, not one of the variations are statistically important.

Determine Three reveals that, amongst those that work together with SSA throughout claiming, the frequency of contact can also be about the identical throughout race.  Nonetheless, the small distinction between Black and White contacts is statistically important, as plainly the marginally greater propensity for Black people to contact SSA at every part accumulates over the entire claiming course of.

Briefly, this evaluation finds no substantial variations by race within the patterns of SSA contact or within the frequency of contact over all the claiming course of.

The following subject is whether or not the explanations for interplay earlier than and in the course of the software course of differ by race.  Determine Four highlights a few of the commonest causes that people contact SSA previous to making use of.⁴For the survey outcomes masking the total checklist of explanation why people contact SSA earlier than the applying course of, see Appendix Determine A1.  These outcomes present that, in comparison with White respondents, Blacks contact SSA extra about their profit eligibility/quantity and fewer concerning the software course of.  Hispanic respondents additionally contact SSA greater than Whites to study their potential profit eligibility/quantity; as well as, they’re extra more likely to contact the company about information errors.  No statistically important racial variations exist amongst those that contact SSA as a result of they’re unaware of the net choice.

Shifting from pre-application to the precise software, the outcomes present that Blacks are extra seemingly than Whites to quote unfamiliarity utilizing the web as a motive for making use of in particular person (see the second cluster in Determine 5).  In distinction, little variation exists for different causes, equivalent to an unawareness of the net claiming choice, a mistrust of on-line companies, or a choice for in-person contact.⁵For the survey outcomes masking the total checklist of explanation why people contact SSA throughout the applying course of, see Appendix Determine A2.

The commonest causes that people contact SSA both earlier than or in the course of the software course of may be divided into three broad classes: 1) primary inquiries, equivalent to profit eligibility/quantity or how the applying course of works, most of which might most likely be dealt with on-line; 2) obstacles to utilizing SSA’s on-line companies, equivalent to information errors or an unawareness of the net choice; and three) an aversion to on-line companies, equivalent to unfamiliarity with the web, a mistrust of on-line instruments, or a choice for in-person interactions.  A much less frequent sort of motive for contacting SSA includes extra advanced subjects equivalent to understanding how spousal or survivor advantages work.⁶For a full checklist of the particular causes included beneath every of the 4 broad classes, see Appendix Desk A1. 

 CRR’s prior analysis discovered that coverage modifications to deal with the primary two classes – primary inquiries and obstacles – might cut back the general share of those that contact SSA from about 60 % to about 40 %.  Specializing in the affect by race reveals that the lower for Hispanic candidates is largest, bringing the share of Hispanic respondents who contact SSA in step with Whites (see Determine 6).  This sample displays the truth that Hispanics are statistically extra seemingly than Whites to contact SSA to study their profit eligibility/quantity and to right information errors – causes that fall beneath primary inquiries and obstacles.

Equally, if people not wanted to contact SSA for primary inquiries or to resolve obstacles to utilizing on-line companies, the variety of phases during which people contact SSA would lower for all racial classes (see Determine 7).  Importantly, the variations throughout the three racial teams stay small on this situation, and neither Blacks nor Hispanics are statistically totally different from that of Whites.

Briefly, if people not wanted to contact SSA to get primary details about retirement advantages or right information errors, current racial variations in SSA contact would shrink as a result of Black and Hispanic people are extra seemingly than Whites to contact SSA for these causes.

A 2021 CRR survey suggests that just about two-thirds of retirees contact SSA in particular person or by cellphone in some unspecified time in the future of their claiming course of; and non-White people are extra seemingly to take action.  Utilizing the identical survey information, this temporary examined potential racial variations in when and why people contact SSA throughout their claiming course of.  Finally, the information present that racial variations within the timing and causes for contacting SSA are minor in comparison with the variations in whether or not people select to contact SSA in any respect.  That stated, insurance policies that cut back the necessity for people to contact SSA to acquire primary data or right information errors might assist equalize racial variations, since a big share of Hispanics contact SSA for these causes.

Aubry, Jean-Pierre and Kevin Wandrei. 2021. “Find out how to Enhance Utilization of SSA’s On-line Instruments.” Working Paper 2021-15. Chestnut Hill, MA: Middle for Retirement Analysis at Boston Faculty.

Carman, Katherine, Samer Atshan, and Jhacova Williams. 2023. “Disparities in Social Safety Data and the Position of Social Capital.” Working Paper 2023-458. Ann Arbor, MI: College of Michigan Retirement and Incapacity Analysis Middle.

Knapp, David and Francisco Perez-Arce. 2022. “Racial and Ethnic Disparities in Data about Social Safety Packages.” Working Paper 2022-449. Ann Arbor, MI: College of Michigan Retirement and Incapacity Analysis Middle.

Peterson, Janice, Barbara A. Smith, and Qi Guan. 2019. “Hispanics’ Data of Social Safety: New Proof.” Social Safety Bulletin 79(4): 11-23. 

Rabinovich, Lila, Janice Peterson, and Barbara A. Smith. 2017. “Hispanics’ Understanding of Social Safety and the Implications for Retirement Safety: A Qualitative Examine.” Social Safety Bulletin 77(3): 1-14. 

Yoong, Joanne, Lila Rabinovich, and Noticed Htay Wah. 2015. “What Do Individuals Know About Social Safety?” Working Paper 2015-022. Los Angeles, CA: College of Southern California, Middle for Financial and Social Analysis and Schaeffer Middle.

Endnotes