What you need to know about Social Security is that it is

[spooky3]

16. It's both of those things. Go to the SSA website.

https://www.ssa.gov/oact/solvency/provisions/individualaccts.html

“ The current Social Security program is a defined benefit social insurance program. A worker and eligible dependents receive monthly benefits based on a formula that takes into account the worker's earnings history. Financing of the program is pay-as-you-go. The payroll contributions of workers each month help provide these benefits to eligible retirees, disabled workers, and survivors in the same month. In contrast, individual accounts provide benefits to each beneficiary using: (1) their own worker contributions; (2) the contributions to their account from their employer; and (3) investment earnings on these contributions. Thus, individual accounts are completely funded in advance.”

I get so tired of seeing all the misinformation about SSA, usually started by right wingers hoping to bring the program down, by confusing people. Here is another useful page:

https://www.ssa.gov/history/InternetMyths2.html