The term "notch" refers to the differences in Social Security benefits paid to people born between 1917 and 1921 and those paid to people born before then. (Some people apply the term "notch" to people born between 1917 and 1926.) The notch occurs because some workers born between 19 1 0 and 1916 receive benefits at levels higher than intended due to a mistake in the 1972 benefit computation method, which overcompensated for inflation. Congress corrected the mistake in 1977, and benefits for all workers born after 1916 are computed under the correct method. Consequently, workers born after 1916 receive appropriate benefit levels as intended by Congress.

The Social Security Notch Commission, a 12-member bipartisan group appointed by the President and Congress, conducted a comprehensive study of the notch issue in 1994. The Commission's report concluded that "benefits paid to those in the notch years are equitable, and no remedial legislation is in order." In the 105th Congress, three bills have been introduced in the House and one in the Senate to address the notch issue.

13.2 What efforts are being made to correct the notch?

Some groups are continuing to push for higher benefits for persons born in 1917- 21, because they allege that their benefits are computed unfairly low. A commission appointed by Congress found this not to be so.

The age group born in depression years (the 1930's) up through the end of WWII is the smallest group ever to retire under Social Security, so how can it be fair to not continue to fully fund Social Security benefits for them, since they paid in for many years and are not draining the funds?

There is no proposal which would reduce Social Security benefits for those currently receiving them who are over age 50.

13.3 What issues concerning inequities in Social Security benefits are currently on the table for discussion, e.g., gender equity?

Many issues are under consideration on a wide variety of subjects.