A Social Security Number (SSN) is a nine-digit number issued by the U.S. Social Security Administration (SSA) to U.S. citizens, permanent residents, and temporary (working) residents. It is used primarily to track individuals for Social Security purposes, but it also serves as a universal identifier for various financial and governmental transactions.
An SSN is a vital component of the U.S. administrative and financial system, serving as a key identifier for employees in many contexts. Understanding its purpose, uses, and the importance of protecting it is essential for businesses and individuals when navigating interactions with government agencies, employees/employers, and financial institutions.
Having an SSN is essential for participating in many aspects of life in the United States. Upon its conception, the digits provided context on the location of the individual, but since 2011, the issuance process was randomized to protect the number's integrity and prevent fraud, which has increased significantly with the advancement of technology. Employers are expected to protect their employee's SSN information in the same manner recommended to individuals, at minimum. They may likely choose to employ even further security measures, both physical and technological.
The SSN was first introduced in 1936 as a way to track the earnings histories of workers for Social Security benefit purposes. Over time, it has evolved into a critical identifier for various government and financial activities, including tax reporting, credit applications, and employment verification.
To obtain an SSN, individuals must apply through the SSA by filling out Form SS-5. The application process requires documentation to prove identity, age, and U.S. citizenship or lawful immigration status. U.S. citizens and permanent residents usually apply shortly after birth or upon receiving permanent resident status. Temporary residents who are authorized to work in the U.S. can also apply for an SSN.