After repeated refusals over three and a half years, the federal government has released to TREA Senior Citizens League (TSCL) the first known public copy of the Social Security Totalization Agreement with Mexico. The Social Security Administration recently agreed to make the disclosure in response to a lawsuit filed under the Freedom of Information Act by TSCL.
Due to a loop hole in Social Security law, the pending controversial Totalization Agreement, signed in June 2004, would allow millions of Mexican workers, and dependents on their accounts, to become entitled to Social Security benefits that include credit for earnings received while working illegally. If allowed to take effect, TSCL believes hundreds of billions in Social Security benefits are at stake.
The U.S. currently has 21 Social Security Totalization Agreements in effect with other nations. The agreements allow workers who split their careers working in two countries to avoid double taxation on the same work. In addition, workers are allowed to combine earnings from both countries in order to qualify for Social Security benefits under one or both systems. The agreement with Mexico presumably would have a very different impact, however, for a number of reasons, including the fact that no other totalization agreement is with a country where so many of its citizens are living and working in our country illegally.