Social Security
Social Security: What Does Insolvency Actually Mean?
The dictionary definition of insolvency is, “the inability to pay one’s debts” So, when The Social Security Trustees report that Social Security will be insolvent in 2034, what does that mean? To begin, Social Security is not going bankrupt. Political…
Forced to Retire Earlier Than Planned? Here’s What to do Next
According to the Center for Retirement Research (CRR) at Boston College, 37% of people retire earlier than planned. Reasons can be poor health, job loss, or a familial shock. Kailey Fralick explains the importance of evaluating one’s retirement plan when the unforeseen…
Tax Reform Missed Changes to Income Tax on Social Security
As Dan Caplinger explains, tax reform did nothing to change income taxes or the thresholds where they kick in for Social Security benefits. The amounts where taxation begins were never indexed for inflation, meaning more people hit the threshold each…
Huge Boost to Social Security pay – if you can wait for it
Just 3% of Social Security recipients wait until age 70 to begin benefits. That’s too bad according to nearly all the experts, as starting them at age 70 allows one to collect the absolute maximum monthly benefit. The benefit increase…
The simplest way to grow your savings
With Social Security replacing only about 40% of pre-retirement income, there is an urgent need for workers to save more money. Automatic savings through payroll deduction is the easiest way to save, as the money is deducted before it can…
Three reasons NOT to take benefits at age 62
Christy Bieber of The Motley Fool believes a lack of understanding about how Social Security works is the cause of so many people starting benefits at age 62. Doing so permanently reduces benefits for one’s entire lifetime. The first of the three worst reasons to…
A brief, informative history of Social Security
Emily Brandon of U.S. News discusses how Social Security benefits have changed over time. She provides answers to these questions, among others, including how the program has modernized in the last six years. What Is the Social Security Act? When Was Social…
Deficits due to begin with Social Security in 2019
This year is widely believed to be the year we turn the corner and that Social Security will pay out more to beneficiaries than it collects in revenue, most of which comes from current workers with the payroll tax. Deficits…
Income taxes on Social Security unpopular, but raise a lot
Few things about Social Security get seniors more upset than paying income tax on part of their benefits. Benefits became taxable first with a change in the law in 1983 followed by a second change in 1993. Under the taxation…
Income Tax on Social Security Benefits? Yes, in 13 states
The federal government taxes up to 85% of Social Security benefits, depending on your income. Thresholds have not been raised since 1993 so more middle income filers face this prospect. But, this Kiplinger’s article focuses on the 13 states that also tax…