The Nation - News from April 14, 1988

A senior citizens lobby said it has sued the government to force it to credit $58.5 billion in wages to individuals’ Social Security accounts. The National Committee to Preserve Social Security and Medicare said it was unsatisfied with the government’s efforts to resolve the discrepancies, which have been costing some retirees an average of $17 a month. The problem arose after the government switched to a dual system for reporting employee earnings in 1978. Since then, employers have sent one set of employee earnings reports to the IRS and another to the Social Security Administration. According to the General Accounting Office, approximately $58.5 billion in wages has not been properly credited to Social Security accounts from 1978 through 1984.