Dear Mohammad,

Raise of minimum wages makes more income for social security. The example of Lithuania confirms it empirically (as growing of SODRA (State Social Insurance Fund) budget, but not only because of this one reason, etc. confirm).

Dear Arvydas

thanks for your response.

Is there an article to confirm this?

Arvydas Guogis

Paul: In my country (USA), the social security amount is based on roughly the highest 10 years (40 quarters) of income. So, a raise in the minimum wage would increase a person's income and result in a higher social security pay-out when they retire.

There is a direct relationship between income level and the amount of social security pay-outs.

Dear Mohammad,

At present I do not know such an article. But if I find, I send coordinates to You.

Dear Mohammad Adeli ,

Germany introduced a minimum wage in 2015. Minimum wages are not directly coupled to the benefits of social security in Germany. However, the contributory payments of workers to the public system of pensions, health insurance, LTC insurance and unemployment insurance are determined relative to the individual income.

It is also an interesting question, how minimum wages impact the employment rate. Indirectly, unemployment leads to higher expenditures of social security. You may have a look at the following paper

https://www.boeckler.de/pdf/v_2018_10_26_pusch.pdf

Best,

Thomas Neusius