Social Security underestimates lead to overestimation of elderly poverty levels.
The study looked at how accurately older people report their Social Security benefits in the Health and Retirement Study. They found that many respondents only report the net amount they receive, not including Medicare premiums. This means that the reported benefits are lower than the actual amount, leading to an overestimation of elderly poverty levels. Even after adjusting for this, Social Security income makes up at least half of total family income for many elderly respondents.