What Do I Need To Know About Social Security As It’s Related To My Retirement?

Social Security is a government-sponsored social insurance program which has existed since 1935. “Social Security” organizations by the same name also exist in Sweden and Australia, but we’ll discuss the social security in the United States in this article. The Social Security Administration is the wing of the U.S. government which oversees the social security insurance. This insurance protects those in certain “conditions”, which include old age, disability, unemployment, poverty, as well as other situations. Americans pay social security taxes throughout their working life, and can expect social security benefits when they reach retirement age.

Those who pay taxes are generally sent a letter by the Social Security Administration every year, which details the kind of social security benefits they can expect when they reach retirement age. These letters tend to go out in the early summer of every year, generally a couple of months after people have filed their IRS income tax form (and have therefore presumably settled up on their social security payments for that year). Those who did not get a social security statement or who lost theirs can go to the Social Security Administration website (listed below) to see their social security benefits information.

What Do I Need To Know About Social Security?

What Do I Need To Know About Social Security? Most Americans will pay into the social security fund throughout their entire working life. When they retire, these people can expect to see monthly social security checks for the remainder of their life. These social security payments may not cover a person’s full living expenses, because these benefits will be in the hundreds and usually not in the thousands of dollars per month. At the same time, social security benefits provide a safety net for seniors, and when combined with company pension plans, 401(k) plans, other savings and profits from lifelong investments, these funds hopefully will cover the expenses of a senior after they pass working age.

social-security-retirement

To qualify for social security funds, a person must acquire social security points over the course of their work life. For instance, if you pay in social security on just over a thousand dollars every quarter, you receive a social security point. You can get four per year. Once you reach the minimum, you qualify for social security retirement benefits. You don’t get higher benefits from collecting more points, because your social security retirement checks are based on the average income over the course of your time working.

Social Security Retirement Planner

The U.S. Social Security Administration has a nice “retirement planner” tool at their website. The SSA site discusses everything from finding your retirement age, benefit calculation, information on Social Security programs, how working after retirement affects your benefits and how other earnings and benefits can affect social security benefits.

Those near retirement age can also look at all their retirement options, figure out which members of your family who might qualify for social security benefits, finding applications to apply for benefits and which documents you’ll need to provide. The SSA site also discusses when you should apply for Medicare coverage.