Which act provides mostly payments to retirees, disabled individuals, and qualified survivors?

• A. Medicare
• B. Unemployment Insurance
• C. Medicaid
• D. Social Security Act

Answer: (D)

The program behind this question is a federal social insurance system that provides monthly cash benefits to people based on their work history. It was created to support individuals in old age, in cases of disability, and for survivors of deceased workers. These benefits come from payroll taxes paid by workers and employers and are administered by the Social Security Administration. This is distinct from health-focused programs and from programs that pay benefits only to people who lose their jobs. For example, retirees receive ongoing retirement benefits, disabled individuals can receive disability benefits, and qualified survivors (such as dependents) can receive survivor benefits after a worker’s death.