The Old-Age, Survivors, and Disability Insurance (OASDI) program is the official name for Social Security in the United States. It provides income for those who can’t work due to old age and disabilities.
What is Old-Age, Survivors, and Disability Insurance?
The Social Security Act created the OASDI program in 1935. It provides steady income to those who cannot work. To pay for this program, the federal government takes a percentage of a worker’s income. As of 2021, the Social Security payroll tax is 6.2% for employees and 12.4% for the self-employed. OASDI is the largest portion of the federal budget, projected to cost $1.2 trillion in 2021.