how to start collecting social security benefits

1. Work your way toward a high-paying job Like other income taxes, Social Security tax is only applied to a certain...
2. Maintain those high earnings for at least 35 years Benefits are calculated based on your earnings history. The...
3. Wait as long as possible to collect your benefits

Full Answer

How much can you make while collecting Social Security?

• Be aware that we are talking about Social Security income limits for retirement benefits, not disability or SSI.
• The earnings limit on Social Security is not the same as income taxes on Social Security. ...
• The earnings limit does not apply if you file for benefits at your full retirement age or beyond. ...
• The earnings limit is an individual limit. ...

What happens if you work after starting Social Security?

If you start a new job after you begin receiving Social Security benefits ... How Much Can You Earn While Receiving Social Security? If you opt to work while receiving Social Security before your full retirement age, you will only be able to receive ...

What is the best way to collect Social Security?

These include:

• Your date and place of birth
• Your Social Security number
• If you are not a United States citizen, you will need your permanent resident card number
• Name of current spouse and the name of any prior spouse (if you were married for more than 10 years or if the marriage ended in death). ...

More items...

Do I have to stop working to collect Social Security?

Now you know the rules for working while receiving Social Security As you can see, you don't have to stop working to receive Social Security benefits. But if you have not yet hit your full...

How long does it take to start receiving Social Security benefits after applying?

The Social Security approval process is relatively speedy, but as it is a government program with a huge number of applicants, you can expect to wait approximately six weeks before you get your approval for benefits. Bear in mind that this timetable only applies if everything runs smoothly.

What is the best month to start Social Security?

Individuals first become eligible to receive a benefit during the month after the month of their 62nd birthday. So, someone born in May becomes eligible in June. Since Social Security pays individuals a month behind, the person will receive the June benefit in July.

At what age is Social Security no longer taxed?

At 65 to 67, depending on the year of your birth, you are at full retirement age and can get full Social Security retirement benefits tax-free.

What do I need to know before applying for Social Security?

As you put together your own Social Security strategy, here are some things you should do before applying for benefits.Create a Social Security account. ... Verify that your earnings history is accurate. ... Understand your full retirement age. ... Estimate your retirement income streams. ... Tally up your probable retirement expenses.More items...

How to maximize Social Security?

Or, you might consider the following rules of thumb: 1 Take Early: The only people who should consider taking their Social Security early are those who absolutely need the money immediately, or those who do not expect to live for very long, due to illness 2 Take at Full Retirement Age: Should you have reason to believe that you will not live past the age of 80, then generally speaking you will maximize your social security benefits if you take them when you reach your Full Retirement Age. 3 Wait as Long as Possible: On the other hand, if you are confident that you will live past the age of 80 or 85, then most experts recommend that you defer your social security for as long as you can (age 70), so as to maximize the benefits you receive from it. 4 Other: If you have dependent children, the additional benefits you receive for them might make filing when you are younger worthwhile.

What age do you need to be to get your spouse's Social Security number?

Spouse’s Social Security number and birth date and the beginning and ending dates of marriage (s) Names and birth dates of any children who became disabled prior to age 22 or who are under age 18 (and unmarried). You will also want names and birth dates for children who are aged 18-19 who are still attending secondary school full time.

How much is deducted from Social Security?

For every month prior to your full retirement age that you begin taking benefits, around 0.55% is deducted from your payout. And, for every year that you defer your benefits, you will receive a larger amount when you finally do begin drawing Social Security. The amount of the bonus is dependent, once more, on your birth date.

What are the advantages and disadvantages of taking your retirement benefits before your full retirement age?

The advantage is that you collect benefits for a longer period of time. The disadvantage is your benefit will be reduced. Each person's situation is different.

Is it better to collect your retirement benefits before retirement?

There are advantages and disadvantages to taking your benefit before your full retirement age. The advantage is that you collect benefits for a longer period of time. The disadvantage is your benefit will be reduced. Each person's situation is different.

How much is a month of benefits at 62?

If, for example, you’d get $1,500 a month starting at age 62 or $2,000 a month starting at age 66, you will have received roughly the same amount in total benefits by age 77 or so. At that point the higher monthly benefits you’d get as a result of waiting will begin to pay off.

How long do you have to wait to get Medicare if you are 65?

The Social Security Administration (SSA) also cautions that even if you delay receiving Social Security benefits until after age 65, you might still need to apply for Medicare benefits within three months of turning 65 to avoid paying higher premiums for life for Medicare Part B and Part D.

How much extra insurance do you get at 70?

If you wait until you’re 70 to start claiming benefits, you’ll get an extra 8% per year , or, in total, 132% of your primary insurance amount ($2,640 per month in the example above) for the rest of your life.

How much is my unemployment check at 62?

In other words, you’ll get 25% less per month, and your check will be $1,500. 1 .

Can a spouse get Social Security if they don't work?

Spouses who don’t qualify for their own Social Security. Spouses who didn’t work at a paid job or didn’t earn enough credits to qualify for Social Security on their own are eligible to receive benefits starting at age 62 based on their spouse’s record.

Do marginal tax rates affect Social Security?

At today’s marginal tax rates, they may not have much of an impact on most people. Still, tax rates and income thresholds can change, so it’s worth remembering that you will lose less of your Social Security to taxes if you are in a lower marginal tax bracket when you begin to collect.

Is Social Security taxable?

Your Social Security benefits may be partially taxable if your combined income exceeds certain thresholds. Regardless of how much you make, the first 15% of your benefits are not taxed. 10 

When can I apply for Social Security?

You can apply once you reach 61 years and 9 months of age. However, Social Security reduces your payment if you start collecting before your full retirement age, or FRA. (FRA is currently 66 and 2 months and is gradually rising to 67 for people born in 1960 or later.)

What age can I start receiving Social Security?

The starting age can differ for other types of Social Security benefits: Spousal benefits can begin at 62, as long as the spouse on whose work record you are claiming them is receiving retirement benefits.

When can I start receiving AARP benefits?

The earliest you can start receiving retirement benefits is age 62. The soonest you can apply is when you reach 61 years and 9 months of age. Skip to content. Stay connected to all things AARP — and earn up to 750 AARP Rewards points. Install AARP Perks™.

Is there an age limit for Social Security Disability?

There is no minimum age requirement for Social Security Disability Insurance . You may qualify for disability benefits with less time in the workforce than you need to collect retirement benefits, but you must also demonstrate that your medical condition meets Social Security’s strict definition of disability and show evidence ...

How old do you have to be to get spouse's Social Security?

To qualify for spouse’s benefits, you must be one of these: At least 62 years of age.

When will my spouse receive my full retirement?

You will receive your full spouse’s benefit amount if you wait until you reach full retirement age to begin receiving benefits. You will also receive the full amount if you are caring for a child entitled to receive benefits on your spouse’s record who is younger than age 16 or disabled.

What happens if your spouse's retirement benefits are higher than your own?

If your benefits as a spouse are higher than your own retirement benefits, you will get a combination of benefits equaling the higher spouse benefit. Here is an example: Mary Ann qualifies for a retirement benefit of $250 and a spouse’s benefit of $400.

If you don't, it could end up costing you some of your monthly Social Security benefit

If you are turning 66 this year, there's something very important you should know about Social Security.

This change to Social Security will affect benefits for retirees turning 66

To understand the rule change that will affect you if you're turning 66 next year, you need to know a few basic facts about how Social Security benefits work.

How FRA is changing if you're turning 66 in 2022

Amendments to Social Security in 1983 slowly phased in a change to FRA. As the chart below shows, here is when full retirement age is, based on the year you were born.

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