Understanding Social Security
Whether young or old, social security impacts all who are working or retired. It is common knowledge that social security is how unemployed people over a certain age receive all or part of their income. The rest, however, is a mystery.
Social Security is a federal insurance program that provides benefits to eligible workers and members of their families. The amounts awarded largely depend on the age of retirement and the workers overall Social Security earnings and contributions.
To be eligible for these benefits, applicants must by 62 years of age or older. Benefits include monthly cash payments and Medicare coverage beginning at the age of 65. While these guidelines may seem straightforward, there are many intricacies to navigate prior to receiving an award. There are many stipulations about which the general public is not even aware. Consider the following:
- Contrary to popular belief, there is no advantage to waiting until full retirement age to begin collecting spousal or survival benefits.
- Divorced couples can both collect spousal benefits based on one another’s work histories after full retirement age. This allows them to postpone claiming their own benefits until age 70, when payments will be highest.
- An individual can change his or her mind about collecting benefits if the decision is made within one year – if benefits are paid back to the Administration, he or she can reapply later and may receive higher payments.
- Many realize that Baby Boomers can raise benefit amounts by working beyond age 60. They are not always aware how this can also raise the spousal, child, and mother and father benefits their relatives collect significantly.
These are only a few of the program’s many complexities. For assistance with claims and appeals, legal representation may be necessary. Contact the team at Brock & Stout for more information.