Wednesday, August 10, 2022

What Do I Need To Collect Social Security

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Earnings Limit On Survivor Benefits

How Many Work Credits Do I Need To Receive Social Security Benefits?

If you file for any Social Security retirement benefit before your full retirement age, there is a limit to how much you can earn. The fact that this also applies to survivor benefits will often catch individuals by surprise.

If you are under full retirement age you are limited to $18,240 in wages or net earnings from self employment. If you exceed that limit, your benefit will be reduced by $1 for every $2 you go over. The one exception is the calendar year you turn full retirement age. For that period, your limit is a much higher $48,600. The amount theyll reduce your benefit by is more generous as well.

Once you are full retirement age, there is no limit to the amount you can earn while drawing Social Security. You can read my article on the Social Security earnings limit or watch my video.

Replacement Card For A Noncitizen Adult

You can replace your Social Security card for free if it is lost or stolen. However, you may not need to get a replacement card, knowing your Social Security number is what’s important. You are limited to three replacement cards in a year and 10 during your lifetime. Legal name changes and other exceptions do not count toward these limits. Also, you may not be affected by these limits if you can prove you need the card to prevent a significant hardship.

In general, only noncitizens who have permission to work from the Department of Homeland Security can apply for an SSN. If you do not have permission to work but need an SSN for other purposes, see “If you do not have permission to work” for further information.

Enumeration Beyond Entry

You may be eligible to apply using our automated process called Enumeration Beyond Entry if you are applying to the United States Citizenship and Immigration Services for work authorization or lawful permanent resident status.

If you are unable to use Form I-765 or Form I-485, you will need to contact your local Social Security field office to apply for an SSN replacement card.

Important

You must present original documents or copies certified by the agency that issued them. We cannot accept photocopies or notarized copies. All documents must be current . We cannot accept a receipt showing you applied for the document.

Is My Spouse Eligible To Receive Social Security Spousal Benefits

Spouses are eligible to receive 50 percent of their spouses full retirement benefit if they wait until they reach full retirement age. If they apply for a spousal retirement benefit before that time, the amount is pro-rated, depending on the age at which the spouse applies. For example:

If a spouse applies for a spousal retirement benefit at age 62 and the full retirement benefit is age 67, the applicant will get 32.5 percent of the spousal benefit.

If a spouse applies for a spousal retirement benefit at age 62 and the full retirement benefit is age 65, the applicant will get 37.5 percent of the spousal benefit.

The benefit increases as ages go up, to a maximum of 50 percent at full retirement age. It should also be noted that only one spouse can apply for a spouses benefit when a couple is married.

In cases of divorce, the divorced spouse can get retirement benefits on the spouses record if the marriage lasted for at least 10 years. To collect this benefit, the spouse must be at least 62 years old and not married. That benefit does not impact the amount a spouse and their current married partner can get.

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Widow’s Or Widower’s Benefit

If the wife or husband of a disabled spouse was married to the disabled spouse for at least a year before the disabled spouse died and the disabled spouse was receiving or entitled to receive SSDI, the surviving spouse can get benefits in these either of these circumstances:

  • The surviving spouse is disabled and between 50 and 60 .
  • The surviving spouse is 60 years old or older.

This means that a surviving husband or wife who is younger than 50 and not taking care of minor or disabled children is not eligible for the survivors benefit when the spouse dies. Note that a surviving spouse’s benefits will end, or never start, if the surviving spouse remarries or becomes eligible to receive significantly higher Social Security benefits on her own record.

What To Consider Before Filing For Social Security

When do people claim Social Security?

A larger benefit check sounds great, but there are tradeoffs, and soon-to-retire folks should consider multiple issues before they decide one way or the other on when to file. If you really want to consider all the avenues, then youll have to think about your finances and longevity two issues that people have a hard time grappling with.

But heres the key tradeoff: you can file early and take a reduced benefit, expecting that a shorter lifespan will mean you receive more now, or you could file at full retirement age or later and claim a bigger check, and eventually live long enough to claim more than the first approach.

Social Security is like longevity insurance, says Brent Neiser, a certified financial planner and former chair of the Consumer Advisory Board at the Consumer Financial Protection Bureau. Its a stream of payments that will not stop throughout your life, so delaying your benefits to keep those payments as large as possible forms a helpful base to your retirement plan.

Neiser urges those who have not saved enough for retirement to use whatever means possible to postpone their Social Security benefits until after their full retirement age to help boost their future income.

You can use personal savings to help bridge the gap, but ideally you should plan to work a little longer , Neiser says.

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Can I Keep A Job Even After I Start Collecting Retirement Dependents Or Survivors Benefits

Yes, and many people do just that. People who are past full retirement age may work and earn any amount without losing any of their Social Security benefits.

But before you reach full retirement age, Social Security will subtract money from your benefit check if you exceed a certain amount of earned income for the year . The limit applies only to earnings from work it does not apply to income from such things as savings, investments, pensions, or rental property. In other words, earnings from these sources will not affect your Social Security benefits.

The Social Security Administration has added a special twist for the year in which you reach full retirement age. During the 12 months prior to your birthday, you will lose one dollar of benefits for every three dollars you earn over a set monthly limit . After your birthday, you can earn any amount of money without losing benefits.

How To Report A Death To Social Security

Before you can collect widows benefits, the death must be reported to the SSA. Funeral homes typically handle reporting of a death to the SSA. However, you will need to provide the funeral home with the deceaseds Social Security number for them to do so.

If you want to report the persons death yourself, call the SSA at 1-800-772-1213 between 7 a.m. and 7 p.m. Monday through Friday. You can also visit a local Social Security office in person. Deaths cant be reported online.

Its best to report the death as soon as reasonably possible, since benefits start only after you apply.

If you were already receiving spousal benefits from Social Security, those benefits will be switched from spousal to survivors benefits. If you were receiving benefits based on your own work record, contact Social Security to see if youre eligible for higher benefits as a widow

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At What Age Is Social Security No Longer Taxed

At 65 to 67, depending on the year of your birth, you are at full retirement age and can get full Social Security retirement benefits tax-free. However, if youre still working, part of your benefits might be subject to taxation. The IRS adds the figures for your earnings and half your Social Security benefits.

Why You Might Want To

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Since few of us have much of an idea of how long we’ll live, it’s well worth considering retiring early if you can in order to enjoy as many work-free years as possible. Many people don’t even really get to decide just when to retire — fate decides for them. The 2017 Retirement Confidence Survey found that 48% of retirees left the workforce earlier than planned, with 41% citing health problems or a disability as the reason and 26% citing changes at work such as a downsizing or workplace closure.

Better still, the younger you are when you retire, the more active you can be in retirement, at least in the first bunch of years. If you want to play a lot of tennis or want to take up ballroom dancing lessons or plant a big garden or trek up to Machu Picchu, it will be much easier to do when you’re 65 than when you’re 75. Early retirees often can enjoy their retirement more, being younger, healthier, and more able to be active, travel, and so on.

Don’t jump into an early retirement without being sure you can afford it — and don’t forget to factor in healthcare costs, either, as they can be hefty. But if you can swing it, give early retirement some serious consideration. Social Security lets you start collecting monthly checks at age 62, and that’s just what you might want to do.

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Divorced Spouse Social Security: Recent Rule Change

The basic rules for divorced spouses and Social Security say that if an individual was married for at least 10 years and then divorced, they are eligible to collect spousal benefits on the earnings record of their ex-spouse as long as they are at least 62 years of age and currently single. The divorced spouse can collect on the ex-spouses account under these circumstances even if the ex-spouse has remarried.

Furthermore, if the couple has been divorced for at least two continuous years, the ex-spouse can claim benefits based on the other partners earnings even if the latter has yet to file for benefits. This contrasts with the rules for current spouses, who cant collect benefits unless their spouse is already collecting them.

Ex-spouses who were born on or before Jan. 1, 1954, are allowed to file a restricted claim for spousal benefits at their full retirement age and suspend their own benefits until later, a practice known as file and suspend. This allows their own benefit to keep growing by 8% a year up to age 70, when their benefit maxes out. At that pointor sooner, if they wishthey can switch over to their own, higher benefit.

However, under the rule change, divorced spouses who were born on or after Jan. 2, 1954, are deemed to be filing for all available benefits when they apply for Social Security. They will automatically receive whichever benefit is higher, but they can no longer take one type of benefit now and switch to another one later.

How To Understand Social Security Retirement Benefits

Social Security, managed by the U.S. federal government, pays benefits to retirees. Social Security benefits are one part of a broader retirement plan. These benefits can supplement other sources of retirement income, such as 401s, individual retirement accounts or other retirement savings plans.

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Could I Be Eligible For The Canada Pension Plan And The Quebec Pension Plan

If you contributed to the CPP or the QPP in at least one year, you will be eligible for a retirement pension from one plan or the other as early as age 60.

The amount of your CPP retirement pension will depend on how much and for how long you have contributed to the CPP and on your age when you want your pension to start.

If you start your CPP retirement pension at age 65, you will get the full pension amount that you are eligible to receive. However, you can choose to start receiving a reduced pension as early as age 60 or an increased pension for every month you delay receiving it up to age 70.

For more information about CPP pension amounts and eligibility, visit Canada Pension Plan.

You must apply to receive your CPP or QPP retirement pension.

Note: Post-Retirement Benefit

The Post-Retirement Benefit is a lifetime benefit that can increase your retirement income if you work while receiving the CPP retirement pension. Contributions are mandatory for working CPP retirement pension recipients under age 65 and their employers. At age 65, these workers can choose to stop contributing. There are no contributions after age 70. For more information, visit Canada Pension Plan Post-Retirement Benefit .

The CPP and QPP also provide disability and survivor benefits. You must apply to receive these benefits.

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Report The Death Of A Social Security Or Medicare Beneficiary

9 Facts About Social Security â Beirne Wealth Consulting ...

You must report the death of a family member receiving Social Security or Medicare benefits. The Social Security Administration processes death reports for both. Find out how you can report a death and how to cancel benefit payments. In addition to canceling SSA and Medicare benefits, find out what other benefits and accounts you should cancel.

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Claiming Social Security Benefits At The Right Time Means More Money In Your Pocket Here’s A Guide To Everything From Knowing Your Full Retirement Age To Taking Social Security Spousal Benefits

For many Americans, Social Security benefits are the bedrock of retirement income. Maximizing that stream of income is critical to funding your retirement dreams.

The rules for claiming Social Security benefits can be complex, but this guide will help you wade through the details. By educating yourself about Social Security, you can ensure that you claim the maximum amount to which you are entitled.

Here are 12 essential details you need to know.

Canadas Retirement Income System

Canada has a public pension system that provides seniors with a secure, modest base of retirement income.

The two main public pension programs are:

  • the Old Age Security program
  • the Canada Pension Plan

The OAS program and CPP, combined with retirement savings, investments and private pension plans, provide Canadians with one of the best retirement income systems in the world.

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Social Security Spousal Benefits Requirements

Based on actuarial studies, after a married couple reaches 65 years old, a majority of the time, one spouse will outlive the other by as much as 10 years. So the decision on who should file for benefits and when that should take place can have a major long-term impact on the income of a surviving spouse.

Spouses who never worked or have had low earnings throughout the course of their life are entitled to receive up to half of their spouses full retirement benefit. Depending on your personal situation, you may receive your own benefit or a blended amount of both you and your spouses benefit. Either way, you will receive a combination of benefits that gives you the highest possible amount.

One strategy often employed is for a spouse to take their spouses retirement benefit and delay taking their own benefit. By doing so, you can continue to accrue delayed retirement benefits which will result in a larger benefit amount when you file for your own retirement benefit.

Replacement Card For A Foreign Born U S Citizen Adult

When To Start Taking Social Security Benefits

You can replace your Social Security card for free if it is lost or stolen. However, you may not need to get a replacement card. Knowing your Social Security number is what’s important. You are limited to three replacement cards in a year and 10 during your lifetime. Legal name changes do not count toward these limits. Also, you may not be affected by these limits if you can prove you need the card to prevent a significant hardship.

Important

You must present original documents or copies certified by the agency that issued them. We cannot accept photocopies or notarized copies. All documents must be current . We cannot accept a receipt showing you applied for the document.

You may be able to request your replacement Social Security card online. Our online service is a fast and secure way to get a replacement. If you are age 18 or older with a U.S. mailing address and have amySocial Security account, you can apply for a replacement card online. For more information about creating my Social Security account and getting a replacement card online, visit our Social Security Number and Card website.

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Strategies To Maximize Social Security Benefits

Social Security benefits, when combined with savings from a 401 and individual retirement account, can help you retire the way you want. Of course, not everyone earns the same amount from Uncle Sam.

A Social Security calculator can help you estimate the payments youll receive, but how do you ensure that youre not shortchanging your future self? Whether you have a few months or a few decades until retirement, here are 10 tips for maximizing your Social Security benefits.

Advanced Filing Strategies For Survivors

In early 2018 the Office of the Inspector General released a report with some shocking news. 82% of widows and widowers who are receiving Social Security survivors benefits are actually entitled to a higher monthly benefit payment. The only problem is, the SSA never made them aware of this. This affected an estimated 9,224 widows and widowers 70 and older who could have received an additional $131.8 million in Social Security benefits had they been told they could delay filing for retirement benefits until reaching age 70.

Theres no need to wait for them to tell you about itlets jump in right now.

Prior to 2016 there were several popular Social Security filing strategies that would allow an individual to file for certain benefits and later switch back to their own benefits. The benefit of this was to allow their own benefits to grow with the 8% per year delayed retirement credits However, law changes in 2016 did away with many of the Social Security filing strategies. The one that remains belongs to survivors and it can be powerful. Heres how it works.

If you have a benefit based on your own work history, it could make sense to file for a reduced survivors benefit as early as 60. While you are drawing your survivor benefit, your own benefit grows every month you delay filing for it. Generally, these adjustments could grow your benefit by 77% from age 62 to age 70. At age 70, you simply switch back to your own benefit .

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