Sullivan Wealth Management, LLCAn Independent Firm

Social Security

SOCIAL SECURITY: 10 Things you need to know!

  1. Social Security benefits do not automatically start coming in the mail the first day of Normal Retirement Age (NRA). NRA: at http://www.ssa.gov/OACT/ProgData/nra.html, says, “The normal retirement age is the age at which retirement benefits (before rounding) are equal to the ‘primary insurance amount’.” These benefits must be applied for!

  2. To get your official statement of recorded earnings you need to fill out a Form #7004.

  3. If you have errors in your records, they need to be corrected within 3 years or they become permanent.

  4. Working between age 62 and Normal Retirement Age can reduce your earnings if you earn more than $14,160 per year. Once you reach your Normal Retirement Age, you can work with no benefit reductions but your earnings may become taxable.

  5. You can increase the size of your retirement benefit by delaying collecting your benefits and by remaining on the job past full retirement age.  This higher benefit comes from extra earnings toward your account and a credit awarded for this patience, ranging from 3% to 8% of your benefit depending on your date of birth.

  6. For people born after 1937, Normal Retirement Age will increase.

  7. Social Security disability benefits do not continue past Normal Retirement Age.  The month before you attain normal retirement age the disability benefits are automatically converted to retirement benefits.

  8. There is a limit to the amount of benefits that can be paid on each Social Security record called the Maximum Family Benefit, generally around 150 to 180 percent of the worker’s benefit.  If this limit is exceeded, the family benefits are reduced.

  9. Ex-spouses, widows and divorced widows may all be eligible for benefits on a spouse’s record.  Provided the requirements are met, they may even all be collecting on the same worker’s record.

  10. There are two Social Security trust funds: one used to finance retirement and survivors benefits and the other used to finance the disability program.  Money not used to pay current benefits is invested only in U. S. Government Treasury bonds.

Is Social Security a significant retirement resource for you?

Call Sullivan Wealth Management, LLC
to set a review of YOUR financial retirement income:

207.660.6637

This material was prepared, in part, by Raymond James for use by Sullivan Wealth Management, LLC an independent firm. Securities are offered through Raymond James Financial Services, Inc. Member FINRA/SIPC. For more information, please call 207-660-6637.

Links:

Normal Retirement Age: http://www.ssa.gov/OACT/ProgData/nra.html
Primary Insurance Amount: http://www.ssa.gov/OACT/COLA/piaformula.html
Local Maine Social Security Offices: http://www.maine.gov/dhhs/oes/ss.htm
Form 7004: http://www.socialsecurity.gov/online/ssa-7004.html
Errors on Statement: https://secure.ssa.gov/apps10/poms.nsf/lnx/0101310040
Maximum Family Benefit: http://www.socialsecurity.gov/OACT/COLA/familymax.html
Spouses Eligible for Higher Benefits at Age 70: http://www.socialsecurity.gov/oig/ADOBEPDF/A-09-08-18007.pdf
Kevin R. Sullivan CDFA™ Certified Divorce Financial Analyst™ Registered Principal
112 Clinton Avenue
Winslow, ME 04901
Phone: 207-660-6637
Fax: 207-660-6640
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