Social Security Definition
Summary
Social security refers to public systems established by law to provide protection against social risks such as old age, sickness, unemployment, disability, or loss of income. Social security systems are typically financed through mandatory contributions and, in some cases, general taxation. The structure and scope of social security vary across countries, but common principles apply across Europe.
Main explanation
What is social security
Social security is a system of statutory protections designed to support individuals in defined life or work‑related situations.
- is established and regulated by law
- provides income support or access to services
- is funded through mandatory contributions, taxation, or a combination of both
Social security systems are a core component of modern welfare states.
Core functions of social security
- loss of income due to old age or retirement
- temporary or permanent incapacity to work
- unemployment
- health‑related expenses
- family‑related responsibilities
Financing of social security
- mandatory social contributions paid by employees, employers, or both
- public funding from general taxation
Social security and entitlements
- establishes eligibility for benefits
- may require qualifying periods
- is compulsory for defined categories
Social security in European systems
- regulated at national level
- coordinated by EU law
- varies across countries
What this page does not cover
- benefit thresholds
- procedural requirements
- private insurance
- country-specific systems
- legal or financial advice
References