Combining American and Mexican Social Security Systems: Totalization
The United States-Mexico Social Security Totalization Agreement was signed in June 2004 and could allow millions of illegal Mexican workers to draw billions of dollars from the U.S. Social Security Trust Fund.
Once President Bush approves the agreement, which would be done without Congressional vote, either House of Congress would have 60 days to disapprove the agreement by voting to reject it. If not stopped by a resolution in Congress, it would grant millions of illegal aliens access to our already-fragile Social Security system. This agreement would pose a grave financial threat to the safety net that our families depend on.
The Social Security Administration itself warns that Social Security is within decades of bankruptcy -- yet, they seem to have no problem making agreements that hasten its demise," said Ralph McCutchen, Chairman of the TREA Senior Citizens League.
The U.S. currently has 21 similar agreements in effect with other nations, which are intended to eliminate dual taxation for persons who work outside their country of origin. All of the agreements are with developed nations with economies similar to that of the U.S.
For example, a worker who turns 62 after 1990 generally needs 40 calendar quarters of coverage to receive retirement benefits. Under totalization agreements, workers are allowed to combine earnings from both countries in order to qualify for benefits. The Agreement with Mexico, like other totalization agreements, would allow workers to qualify with just six quarters, or 18 months, of U.S. coverage.
But Mexico's retirement system is radically different than that of other participating countries. For example, only 40 percent of non-government workers participate in Mexico's system, whereas 96 percent of America's non- government workers do. In addition, the U.S. system is progressive, meaning lower wage earners get back much more than they put in; in Mexico, workers get back only what they put in, plus accrued interest.
Regarded as a "conspiracy theory" by many who are not paying attention, the Totalization agreement should be regarded as an essential step in the ongoing effort to combine the economies and infrastructures of the U.S. and Mexico - "integration" of the two countries along with Canada - which would eventually form the North American Union and allow the "free flow of goods, services and people".
The agreement can be read here.
This from Phyllis Schlafly in 2004:
Totalization: Sellout of American Workers
"The Bush totalization plan would pay out billions in Social Security benefits to Mexicans for work they did in the U.S. using fraudulent Social Security numbers, something that Americans would go to jail for doing. It would pay Social Security Disability benefits to Mexicans who worked in the United States as little as 3 years.
The Bush totalization plan would lure even more Mexicans into the United States illegally in the hope of amnesty and eligibility for Social Security benefits. The Bush plan would even cover the Mexicans' spouses and dependents who may never have lived in the United States.
Since few if any of the illegal aliens have built up any equity in the Mexican retirement system, what is there to totalize? Totalization is a plan for the U.S. taxpayers to end up assuming the entire burden.
When George W. Bush became President in 2001, the Mexican government expected the United States to pass amnesty (disguised as a guest worker plan and "regularizing" the entry of Mexicans). After 9/11, Mexico's national policy turned to increasing the number of its nationals working in the United States and getting them to qualify for all the social benefits and privileges Americans receive, from driver's licenses to Social Security and Social Security Disability.
The Social Security commissioners of both Mexico and the Bush Administration signed a totalization agreement in June of 2004, but the text of the agreement has been kept secret. Maybe we will be permitted to see it after the President approves it and sends it to Congress.
Let your Members of Congress know you want them to stop this billion-dollar sellout of American workers and taxpayers".
We agree.
Detailed info can be found here from the Center for Immigration Studies.