US Social Security and Canadian Pension taxes are managed by which entities?

The correct answer highlights that both US Social Security and Canadian Pension taxes are managed by the respective governments of the two countries. In the United States, Social Security is administered by the Social Security Administration (SSA), which is a government agency responsible for managing issues related to social insurance and providing benefits to eligible individuals. Similarly, in Canada, the Canada Pension Plan (CPP) is administered by the Government of Canada, providing retirement income to contributors.

The involvement of government entities in managing these taxes is critical because they are statutory programs designed to offer social insurance to citizens. These government agencies ensure compliance with laws regarding contributions, manage funds, and provide benefits to retirees, survivors, and those with disabilities. This structure makes it clear that these social security systems are not operated by private banks or local state authorities, which do not have the responsibility or authority to manage national pension programs. International monetary organizations typically do not oversee social security systems; their focus lies more in economic stability and international financial issues.