Calculate The Best Time To Start Social Security
If you are confused about when to start, you can use the Social Security Explorer part of the NewRetirement Retirement Planner to compare your monthly income and maximum lifetime payout at different ages.
Or, you might consider the following rules of thumb:
- Take Early: The only people who should consider taking their Social Security early are those who absolutely need the money immediately, or those who do not expect to live for very long, due to illness
- Take at Full Retirement Age: Should you have reason to believe that you will not live past the age of 80, then generally speaking you will maximize your social security benefits if you take them when you reach your Full Retirement Age.
- Wait as Long as Possible: On the other hand, if you are confident that you will live past the age of 80 or 85, then most experts recommend that you defer your social security for as long as you can , so as to maximize the benefits you receive from it.
- Other: If you have dependent children, the additional benefits you receive for them might make filing when you are younger worthwhile.
It can also be a very good idea to have an overall retirement plan before you decide when to start your Social Security benefits. The NewRetirement Retirement Planner can help you assess all of your sources of retirement income and whether or not you will have enough to cover your expenses. This tool was recently named a best retirement calculator by the American Association of Individual Investors .
How To Apply For Social Security Benefits
Once youve decided when to start your Social Security benefits, how do you submit your application?; There are three ways to apply for Social Security:
1.; You can go online to SocialSecurity.gov and submit your Social Security application right on the website.; However, at this time you can only apply for retirement benefits online .
2.; Call 800-772-1213 to apply for benefits by telephone.
3.; Or you can visit an office in person if you want to talk to an employee face to face.; To find the closest office, visit the website at SocialSecurity.gov.
You will need the following information when you submit your Social Security application:
Social Security number Name at birth, date and place of birth Citizenship status Marital status, spouses name, date of birth and SSN Name, date of birth and SSN of any former spouses Names of any unmarried children under age 18 The name and address of each company you worked for in the last two years, including estimated earnings If you are within 3 months of turning 65, youll also need to let Social Security know if you; are enrolling in Medicare or not.
Additional information may be required if you are self employed or if you worked in a government job that will provide a pension benefit.
Getting A Social Security Number For A New Baby
The easiest way to get a Social Security number for your child is at the hospital after they are born when you apply for your childs birth certificate. If you wait to apply for a number at a Social Security office, there may be delays while SSA verifies your childs birth certificate.
;Your child will need their own Social Security number so you can:
- Claim your child as a dependent on your income tax return
- Open a bank account in their name
- Get medical coverage for them
- Apply for government services for them
Keep your Social Security card in a safe place to protect yourself from identity theft.;
How Do I Determine My Benefit Amount And File
If you have an account on the Social Security website, you can download your personal statement of benefits, which includes your estimated benefit amount at various ages. The statement also includes your lifetime wage history; check this to make sure it looks accurate. If you havent established an account yet, you can do that at any time; its useful to have one, since Social Security mails out paper statements only periodically these days.
The Social Security field offices are closed to the public for most routine transactions during the pandemic. If you want to claim benefits now, filing online will be your most convenient option. Services are also available via the agencys toll-free line, 800-772-1213, but be prepared for long delays.
Get Ssa Benefits While Living Overseas
U.S. citizens can travel to or live in most, but not all, foreign countries and still receive their Social Security benefits. You can find out if you can receive benefits overseas by using the Social Security Administrations payment verification tool. Once you access the tool, pick the country you’re visiting or living in from the drop-down menu options.
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The Social Security Act
The social security number was created following the passage of the Social Security Act of 1935 to solely track the earnings histories of U.S. workers. The intention was to use the number to determine social security benefit entitlements and compute benefit levels. In order to track benefits, every employee is required to have a social security number.
Types Of Jobs You Can Get Without A Social Security Number
Some independent contractor jobs may not require a social security number when youre hired. But if the contracting business is compliant with government regulations, it must ask for a completed W-9 Form from independent contractors before the end of the year, for tax purposes.
Some manual-labor employers will hire illegal workers and dont require their employees to show proof of their social security number. However, businesses that violate the law risk federal intervention, which may include loss of business licenses;and/or the deportation of illegal workers.
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Social Security Number Application Stepsfor F
How Do I Apply For A Social Security Number
Step 1:; Be in the U.S. for 10 Days with ‘Active’ Record
If you are in F-1, H-1B or J-1 status, the data that confirms your status and the fact that you are eligible for a Social Security Number has to be accessed on-line by the agent of the Social Security Administration at the time you apply. The data will not travel from the Immigration Service to the SSA database until two conditions apply:
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How To Stop Social Security Check Payments
The SSA can not pay benefits for the month of a recipients death. That means if the person died in July, the check received in August must be returned. Find out how to return a check to the SSA.
If the payment is by direct deposit, notify the financial institution as soon as possible so it can return any payments received after death. For more about the requirement to return benefits for the month of a beneficiarys death, see the top of page 11 of this SSA publication.
Family members may be eligible for Social Security survivors benefits when a person getting benefits dies. Visit the SSA’s Survivors Benefits page to learn more.
Receiving Your Social Security Benefits
Your benefits will either be paid by check or through an automatic payment sent to your bank account you can designate your choice on your application before you submit it. To have your payments sent electronically to your bank account as a direct deposit, youll need your checking account number and the banks routing number.
To receive your benefits, youll also need to designate your first payment date, which youll also do during the application process. Depending on your age, the system may only let you select certain dates due to eligibility limitations.
If you arent sure when you should start claiming your benefits in retirement, refer back to the payment calculator. The longer you wait and the closer you get to age 70 the more youll receive each month. The calculator gives you a close prediction of what your payment will be, and its an ideal tool to use for retirement-planning purposes.
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Pros And Cons Of Collecting Social Security While Working
If you’re eligible for Social Security, you can start collecting your benefits as early as age 62. You can also continue to work. But unless you’ve reached your full or “normal” retirement age , you’ll be doubly penalized:
- If you earn over a certain amount, your benefits will be temporarily reduced.
Create An Applicant Account
To apply for employment with the SSA, job applicants must create an account with USAJobs.gov, an online website managed by the Office of Personnel Management that lists job opportunities with government agencies. Along with entering some basic information, such as your name and address, youll also upload a copy of your resume.
Highlighting on your resume any specialized skills you have can help increase your chances of getting called in for an interview, says the SSA. It recommends including specific examples of your skills and how these skills will help you succeed in the position youve applied for. Once you have an account with USAJobs, youll be able to search for Social Security Office openings and apply for jobs — and youll have all of the necessary information saved in one place.
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Making Timely Progress After You Assign Your Ticket
Your road to employment through the Ticket Program is a two-way street: You receive free assistance from your service provider to prepare for, find and keep a job, while you work your way towards financial independence. In return, you pledge to Social Security that you will take specific steps determined by the plan you developed with your service provider within specific timeframes set by Social Security to:
- Work at a specified earnings level or,
- Complete certain educational or training requirements.
When you participate in the Ticket Program, you are working with your EN or VR to reduce or eliminate your dependence on SSDI and/or SSI cash benefits.
Taking the agreed-upon steps toward employment within Social Security’s timeframes is called making “timely progress” towards:
- Receiving the education and training you need to succeed at work and your long-term career
- Becoming and staying employed
- Reducing your dependence on SSDI or SSI payments
- Earning your way off cash benefits, if possible
For you, the return for making “timely progress” is that you succeed in achieving a more financially independent life.
International Students And Scholars Office
The SSA Office located closest to UT Dallas is:
10824 N. Central Expressway
You can conveniently use public transportation to reach the SSA Office.
- Take the DART campus shuttle to the George Bush Turnpike DART rail station.
- Ride the DART rail station to the;Walnut Hill;train stop.
- Take the 502 DART bus to the Social Security Administration Office.
To plan your trip, please visit the;DART website;for current schedule.
Earn Ssa Work Credits In Some Countries
You may not have enough credits from your work in the United States to qualify for retirement benefits. But, you may be able to count your work credits from another country. The SSA has agreements with 24 countries. If you earned credits in one of those countries, they can help you qualify for U.S. benefits.
I Dont Have Anything Saved What Should I Do
Your options are limited here, but there are moves that may get some Social Security income flowing now while preserving the possibility of higher benefits later.
One strategy is to claim benefits now but suspend them later to accumulate what are known as delayed retirement credits. Lets say our out-of-work 62-year-old claimant finds a new job at 64. When she reaches her full retirement age, she could suspend her benefits and begin accruing delayed credits, calculated from her already reduced benefit. Doing so would add roughly $50,000 to her lifetime benefit, Mr. Meyer said. And if she waits until 63 to make her initial filing and then executes this suspend strategy, the addition to her likely lifetime payout will rise to about $71,000.
You can only suspend once, but it does add an element of flexibility that can result in more cumulative benefits, Mr. Meyer said.
People who gain new employment while receiving Social Security should be aware of one complication here. Its called the retirement earnings test.
If you claim benefits before your full retirement age and keep working, Social Security withholds a portion of your benefits if your earnings exceed certain amounts, a figure known as the exempt amount.
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Can I Report Earnings Without A Social Security Number
Until you have a social security number, you cannot pay taxes and are not eligible to receive social security benefits. However, once you have a social security number, how you report your earnings depends on whether you are a payroll employee or an independent contractor.
If you are a payroll employee, your wages and contributions to social security will be reported by your employer. If you are self-employed, your contributions will be paid as a self-employment tax.
The information contained in this article is not legal advice and is not a substitute for such advice. State and federal laws change frequently, and the information in this article may not reflect your own states laws or the most recent changes to the law.
Why Do Employers Ask For Social Security Numbers On Applications
Some employers require applicants to list their Social Security number when completing job applications. Employers may want your Social Security number to conduct a;background check;or credit check.
The;Fair Credit Reporting Act;regulates the use of background checks for employment. Employers must get your written permission before running a background check and must notify you about what they discover.
In addition, several states have prohibited or limited the use of;;for job applicants. Most employers that do conduct these checks do not do so until you are further along in the hiring process than the initial application.
Your Options For Filling Out The Application
Just because you are asked for your Social Security number, does not mean you are obligated to give it out. It is important for job seekers to know that they are not legally required to provide their Social Security numbers to employers, with the exception of government and;national security-related jobs;or jobs that require a credit check.
With the rise of identity theft, it makes sense to be cautious when giving out your Social Security number. If the employer says giving your Social Security number is optional, you can simply choose not to give it. If it is required on the application, you can still choose not to list it if that’s possible.
- Add an explanation.;You may be able to explain in your application that you do not feel comfortable giving them your Social Security number at this point in the job application process. However, keep in mind that if any job listing requires your Social Security number and you do not list it, your application may not be considered.
- You may be able to leave it blank.;If you are filling out a job application, you may be able to skip the section where they ask for your SSN. Or make a notation that you would be willing to share your Social Security number once you are being seriously considered for employment.
- You could edit what you list.;Another option is to list the last four digits as 0000. Of course, employers might choose to screen out applicants who do not comply with their request for information.
When To Apply For Social Security
As stated above, you are eligible to apply for Social Security retirement benefits when you are 61 and nine months. You can start collecting benefits as soon as you turn 62.
However, just because you can, does not mean that you should.
The longer you delay starting your benefits, the more your monthly income will be. In fact, the difference in lifetime income between starting at age 62 and waiting until your maximum retirement age can be more than $100,000 and for many people much much more.
While you can start benefits at age 62, the Social Security Administration considers that early. Depending on your birth year, you do not reach what the SSA calls full retirement age until sometime between ages 66 and 67.
- For every month prior to your full retirement age that you begin taking benefits, around 0.55% is deducted from your payout.
- And, for every year that you defer your benefits, you will receive a larger amount when you finally do begin drawing Social Security. The amount of the bonus is dependent, once more, on your birth date. For example, someone born in 1944 has a full retirement age of 66. If they start benefits at age 69, they will receive eight percent more benefits for each year they delay.