| Around 160 million people working in the United States | | | | are very tough. Person claiming disability benefits must |
| pay the social security taxes and about 50 million | | | | be suffering from physical or mental disability for at |
| people receive the benefits. Here is what you get out | | | | least twelve months. |
| of your social security taxes - | | | | - Benefits for the survivors - The survivors of the |
| - Benefits on retirement - If you have worked in a job | | | | deceased worker who is eligible can get cash benefits. |
| covered by social security for a a certain length of | | | | The survivors may include spouse, children, parents |
| time and you reach a certain age, you start receiving | | | | and even grandchildren in certain circumstances. Their |
| regular monthly checks as your retirement benefit | | | | eligibility is as follows: |
| from social security administration. In a particular job | | | | |
| which is covered for at least 40 calendar quarters, you | | | | 1. A widow who is 60 years or older. |
| are considered fully covered. | | | | 2. Unmarried children under 18 years of age. |
| You can retire and start receiving benefits at the | | | | 3. Dependent parents of 62 years of age or older. |
| earliest age of 62. However your payments will be | | | | - Medicare benefits - These benefits include hospital |
| less if you retire before standard retirement age. The | | | | and Medical Insurance expenses. The coverage starts |
| age of receiving full benefits is increasing continuously. | | | | automatically when you reach the age of 65. There |
| At present you need to be 67 year old to qualify for | | | | are two parts. Part A covers expenses for |
| full benefits. | | | | hospitalization while part B cover some bills of doctors, |
| - Tax concessions on benefits -for most of the | | | | cost of prescription drugs, outpatient treatment and |
| retirees, the benefits under social security are totally | | | | other relevant expenses. |
| tax free. If your AGI plus non taxable interest along | | | | You can always call the social security administration |
| with ½ of the social security benefits exceed | | | | for understanding the benefits you will receive when |
| $25,000 ($32,000 if you are married) then 50% of your | | | | you are nearing the retirement age. If you prefer to |
| benefits will be taxed. This slab almost goes up to | | | | continue to work after you reach 65, still you should |
| 85% depending upon your AGI. | | | | contact the social security people so that you can |
| If you are availing social security benefit between 62 | | | | enroll yourself in Medicare on your 65th birthday. |
| and full retirement age, $1 in benefits will be deducted | | | | Medicare benefit is available to you at the age of 65 |
| for every $2 in your earnings about the annually limit. | | | | whether you retire or not. |
| This limitation applies only to the money you have | | | | The concept of social security is excellent and the |
| earned and it does not apply to any income from | | | | benefits are good. However the only catch is - the |
| stocks or bonds or real estate etc. which is treated as | | | | money you pay by way of taxes into the social |
| non earned income. | | | | security is used to pay people who are receiving |
| - Disability benefit - This benefit is available to the | | | | benefits at this time. The unused money goes to the |
| people who are disabled, preventing them from | | | | social Security Trust fund. So the experts have their |
| working. The assistance is based on average earnings | | | | concerns about working of the system in the next 3 to |
| of such person under social security. The disability rules | | | | 4 decades. |