Thank you for contacting me regarding the Social Security Totalization Agreement between the United States and Mexico. I appreciate your concerns and value the opportunity to respond.
The Social Security Totalization Agreement with Mexico seeks to eliminate the dual social security taxation placed upon U.S. citizens employed by U.S. companies in Mexico. Conversely, the agreement also will remove the double taxation requirement for Mexican citizens working for Mexican companies in the United States. Currently, American and Mexican workers and their employers are required to pay Social Security taxes to both countries on the same earning. The Totalization agreement will allow these workers and their employers to contribute to only one of the Social Security systems, rather than both. According to the Social Security Administration, by removing the double taxation burden, American employees and workers will save $140 million over the next five years.
This agreement also protects the benefits of U.S. workers who have divided their careers between the two countries. Previously, some U.S. citizens failed to meet the minimum eligibility requirements to qualify for Social Security benefits because they divided their career between the United States and Mexico. Under this agreement, U.S. citizens who worked in Mexico will be eligible for benefits at the age of retirement on the condition that they paid taxes to the U.S. Social Security System.
It is important to note that we in Congress and members of the Mexican Senate must review this agreement before it can take effect. I understand the concerns of many individuals who are worried that illegal immigrants will receive Social Security benefits. Please know that I will not support any policy that will give illegal immigrants Social Security benefits. This would be unfair to the hard working American men and women who contribute part of their well-deserved earnings to the Social Security System.
Once again, I appreciate you alerting me to this matter and please do not hesitate to contact me again about issues important to you. If you would like to receive an e-mail newsletter about my initiatives to improve America, please sign up on my website (