Social Security Retirement Planning 2019 Presented by: Charo Boyd - - PDF document
Social Security Retirement Planning 2019 Presented by: Charo Boyd Public Affairs Specialist Social Security my Social Security Registration Step 1: Visit socialsecurity.gov and select my Social Security Step 2: Select Create An
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Presented by: Charo Boyd Public Affairs Specialist Social Security
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Step 1: Visit socialsecurity.gov and select my Social Security Step 2: Select “Create An Account” Step 3: Verify your Identity Step 4: Choose a Username and Password
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www.socialsecurity.gov
Social Security “credits”
gives you one credit
Example: To earn 4 credits in 2019, you must earn at least $5,440. Earning 40 credits (10 years of work) throughout your working life will qualify you for a retirement benefit.
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https://www.ssa.gov/pubs/EN-05-10070.pdf
average wages over time
in which you earned the most (do not need to be consecutive and do not need to be most recent)
and arrive at your basic benefit or primary insurance amount www.socialsecurity.gov
3 http://www.socialsecurity.gov/pubs/EN-05-10070.pdf
https://www.ssa.gov/pubs/EN-05-10070.pdf
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lower monthly payment
you get your full benefit
payment if you delay receiving benefits past your full retirement age
www.socialsecurity.gov
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Year of Birth Full Retirement Age % at age 62 % at age 70
1943-1954 66 75.0% 132.00% 1955 66 + 2 months 74.2% 130.67% 1956 66 + 4 months 73.3% 129.33% 1957 66 + 6 months 72.5% 128.00% 1958 66 + 8 months 71.7% 126.67% 1959 66 + 10 months 70.8% 125.33% 1960 or later 67 70.0% 124.00%
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www.socialsecurity.gov
quick financial planning tool
benefit estimates
scenarios based on different ages and earnings
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www.socialsecurity.gov
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Note: If some of your retirement benefits are withheld because of your earnings, your benefits will be increased starting at your full retirement age to take into account those months in which benefits were withheld.
If You Are You Can Make Up To If You Make More, Some Benefits Will Be Withheld Under FRA* in 2019 $17,640/yr. ($1,470/mo.) $1 for every $2 Turning FRA in 2019 $46,920/yr. ($3,910/mo.) $1 for every $3 Month You Attain Full Retirement Age & Continuing No Limit No Limit www.socialsecurity.gov *FRA = Full Retirement Age
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(under 19 if still in high school)
age 22
under age 16 or disabled
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and your ex-spouse are at least 62, he or she can get benefits even if you are not retired
effect on the amount you or your current spouse can receive
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You could be entitled up to half of your spouse's benefit.
www.socialsecurity.gov
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https://www.ssa.gov/planners/retire/applying6.html
For those born BEFORE January 2, 1954
www.socialsecurity.gov At your full retirement age, you can choose to receive only spouse’s benefits and delay receiving your retirement benefit until a later date.
For those born on January 2, 1954 or LATER
You do not have the option of filing for just spouse’s benefits. If you file for spouse’s benefits, you must also file for retirement benefits. Basically, you file for one benefit and you will be effectively filing for all retirement or spousal benefits.
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https://www.ssa.gov/planners/retire/suspend.html www.socialsecurity.gov
Effective April 30, 2016 If you suspend your benefits, everyone else collecting
benefits, we will only permit reinstatement beginning with the month after the month of the request.
ask to suspend your retirement benefit payments.
reach age 70.
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Widow or Widower:
If disabled as early as age 50
16 or disabled
(50 if disabled) is protected
may qualify
Your Child if:
(under 19 if still in high school)
before age 22
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spouse’s) benefit or your own, whichever benefit is higher
(remember there is a permanent reduction for starting benefits early)
record later
You could be entitled up to 100% of your deceased spouse’s (divorced spouse’s) benefit
www.socialsecurity.gov
Child
Spouse
Worker
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http://www.socialsecurity.gov/planners/taxes.htm www.socialsecurity.gov ** Combined income is: Your adjusted gross income + Nontaxable interest + ½ of your Social Security = Your “Combined Income” If you file as an “individual” and your combined income ** is:
$34,000, you have to pay income tax on up to 50% of your benefits.
85% of your benefits may be taxable. If you file a “joint return” and your combined income ** is:
$44,000, you have to pay income tax on up to 50% of your benefits.
85% of your benefits may be taxable.
If your average monthly earnings are = $5,600 Then your full monthly benefit would be = $2,326
90% of First......................................................... $926 = $833 32% of Earnings over $926 through $5,583…….. $4,657 = $1,490 ($5,583-$926=$4,657) 15% of Earnings over $5,583.............................. $17 = $3 $5,600 = $2,326
*Payments rounded to whole dollar amounts
($5,600-$5,583=$17)
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www.socialsecurity.gov
https://www.socialsecurity.gov/planners/retire/gpo-wep.html
When part of your pension is from work not covered by Social Security two laws may affect your Social Security benefit amount:
you have at least 40 Social Security credits and you are eligible for Social Security benefits on your own work record
Social Security spouse or widow(er)’s benefits
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www.socialsecurity.gov
(Go to https://www.ssa.gov/pubs/EN-05-10031.pdf for a payment calendar)
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www.socialsecurity.gov
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www.socialsecurity.gov/agency/contact/ www.socialsecurity.gov
Visit the website
Call the toll-free number
Specific questions can be answered from 7 a.m. to 7 p.m., Monday through Friday. Information is provided by automated phone service 24 hours a day. If deaf or hard of hearing, call Social Security’s TTY number, 1-800-325-0778.
Visit a local office
Most offices are open to the public Monday, Tuesday, Thursday and Friday from 9 a.m. to 4:00 p.m. and Wednesdays from 9 a.m. to 12:00 p.m., except Federal holidays.