Social Security: Proposed Totalization Agreement with Mexico Presents Unique Challenges;Report to the Congress

摘要

Over the last year, the United States has been negotiating a totalization agreement with Mexico that has received considerable attention among the media and others regarding its potential impacts. Because Mexicans represent a large share of the millions of unauthorized workers present in the United States, a totalization agreement with Mexico has raised concerns that many such workers would become newly eligible for social security benefits at a time when long-term trust fund solvency is threatened. To shed light on the possible impacts of such an agreement, you asked us to (1) describe the Social Security Administration's (SSA) processes for developing the proposed agreement with Mexico, (2) explain how the agreement might affect the payment of social security benefits to Mexican citizens, and (3) assess SSA's cost estimates for such an agreement.