Which of the following is NOT a source of funding for Social Security benefits?

The correct answer indicates that the Federal Government is not a direct source of funding for Social Security benefits. Rather, the primary funding mechanisms for Social Security come from contributions made by employers and employees through payroll taxes under the Federal Insurance Contributions Act (FICA).

State governments do not contribute to Social Security benefits; they may administer certain aspects of the program but do not fund it. Therefore, while the Federal Government oversees the Social Security program, it does not fund Social Security benefits directly from its general revenues. Instead, the funds for benefits come from the specific payroll taxes collected from employees and their employers, which are designated for Social Security. This distinction is important to understand the flow of funding into the Social Security system and the respective roles of different entities.