Social Security Benefits

This is a common question we get when we do a full Social Security Benefit session. “When will I receive my first check”. It’s important to understand that As of March 1, 2013, the Social Security Administration stopped mailing paper checks. There are two ways you can receive your benefits:

1. Direct deposit of your Social Security checks. This option puts them right into your bank account on the day they are paid.

You don’t have to worry about your check being lost or worry that funds will not get to the bank in time if you are out of town. Sign up or learn more at Frequently Asked Questions About Social Security Direct Deposit.

2. Direct Express® Debit Card – If you do not sign up for direct deposit, your benefits will be paid to you via Direct Express® debit card option. This card will work anywhere that takes Debit Mastercard®. You can also use your Direct Express® debit card to get cash back at the grocery store or to purchase money orders at the post office.

Social Security checks are deposited on the second, third, or fourth Wednesday of each month, depending on your day of birth. The Social Security check schedule works as follows:

If you were born on the:

1st–10th of the month: Expect your Social Security check to be deposited on the 2nd Wednesday of each month.

11th–20th of the month: Expect your Social Security check to be deposited on the 3rd Wednesday of each month.

21st–31st of the month: Expect your Social Security check to be deposited on the 4th Wednesday of each month.

Exceptions to When Social Security Checks Arrive

For every rule, there are always exceptions. If you fall into one of the categories below, your check may arrive on an alternate schedule.

You started receiving benefits before 1997: Your Social Security check is paid on the third day of the month. You can request to change this according to the day of birth schedule above.

You are receiving both Social Security benefits and SSI payments: Expect your Social Security check to be deposited on the third day of the month.

Holiday exceptions: If the day your Social Security check is supposed to be deposited is a holiday, your check will be deposited the previous day.

If you have questions on how to Maximize your Social Security Benefits, contact us today. This is what we do! Helping thousands of people that look for ways to maximize their retirement and live a better life.

As a Social Security Benefits Planner, we get this question all the time. In fact, it’s probably the most asked question. So it’s important to realize that the decision of when to retire is separate from the decision of when to claim Social Security benefits. For example, depending on circumstances, you might find that it makes sense to retire at a given age, yet hold off on claiming Social Security until a later date — maybe even several years later.

By waiting until age 70 rather than claiming as early as possible at age 62, you can increase your monthly benefit amount by roughly three-quarters. Of course, by waiting, you decrease the number of months in which you’ll be receiving a Social Security check.

So how can you tell if the trade-off is worth it? One way to compare two possible ages for claiming benefits is to compute the age to which you would have to live for one strategy to become superior to the other strategy. Another way to analyze the decision is to compare the payout you get from delaying Social Security to the level of income you can safely get from other retirement income sources.

According to the Social Security Administration, the average total life expectancy for a 62-year-old female is 84.8. For a male, it’s 82. In other words, from a breakeven perspective, most unmarried retirees will be best served by waiting to take their retirement benefit.

This is why it’s always a good idea to have other sources of retirement income. In other words, for each dollar of Social Security you give up now (by delaying benefits), you can expect to receive a greater level of income in the future than you could safely take from a dollar invested in a typical stock/bond portfolio.

A similar analysis can be performed for each year up to age 70, and the conclusion is the same: Delaying Social Security benefits can be an excellent way to increase the amount of income you can safely take from your portfolio.

Of course, there are circumstances in which it would not make sense for an unmarried person to delay taking Social Security.

First and most obviously, if your finances are such that you absolutely need the income right now, then you have little choice in the matter.

Second, if you have reason to think that your life expectancy is well below average, it may be advantageous to claim benefits early. For example, if you have a medical condition such that you don’t expect to make it past age 64, it would obviously not make a great deal of sense to choose to wait until age 70 to claim benefits.

In Summary:

For unmarried retirees, from a breakeven perspective, you’ll be best served by waiting until age 70 to claim benefits if you expect to live past age 80.5. (And, for reference, the average total life expectancy for a 62-year-old female is 84.8. For a male, it’s 82.)

For unmarried retirees, on a dollar-for-dollar basis, the lifetime income you gain from delaying Social Security is generally greater than the level of income you can safely get from other sources. As a result, delaying Social Security can be a great way to increase the amount you can safely spend per year. (Or, said differently, it can be a great way to reduce the likelihood that you will outlive your money.)

The shorter your life expectancy and the greater the available yield on inflation-protected bonds, the less desirable it is to delay claiming Social Security benefits.

Still confused about what is right for you? Get our FREE E-Book on Social Security Basics and start getting your questions answered. Faye Sykes is a National Speaker on Social Security and understands how to maximize your Benefits.

You’ve lost your Social Security Card, what do I do? First of all, don’t panic. They’re lot’s of protections now that will alert you if your number is being used. But the most important thing to do is REPORT IT! Any time you lose sensitive personal information such as your Social Security card, it is a good idea to request an initial security alert be added to your credit report. An initial security alert is free and remains on your report for 90 days. It lets creditors know that you may be a victim of identity theft so someone could be trying to apply fraudulently for credit in your name.

The easiest way to request a security alert is by going online, although you can also request the alert by phone or by mail. To add an alert via the Internet, visit Experian’s online Fraud Center and select “Add an initial security alert.” Simply complete the form and submit it through the secure Web link. To add an alert by phone call 1 888 EXPERIAN (1 888 397 3742) and select the fraud option. Follow the voice instructions to add an alert and request a report.  After you have reported it for credit reasons, now report it to the Social Security Administration

Contact the Social Security Administration

Contact the Social Security Administration to let them know the card was lost and to request a new one. For more information, please visit the Social Security Administration’s site.

How do I replace it?

It is free to replace your social security card if it has been lost or stolen. You are limited to 3 replacement cards in a year and 10 during your lifetime. Legal name changes and other exceptions do not count toward these limits. For example, changes in immigration status that require card updates may not count toward these limits. Also, you may not be affected by these limits if you can prove you need the card to prevent a significant hardship.

In order to get a replacement social security card you will need to provide documentation that proves you are a US citizen and your identity. All documents must be either originals or copies certified by the issuing agency. The social security office will not accept photocopies, notarized copies of documents or receipts showing you applied for the document. Social Security may use one document for two purposes, such as using your US passport as proof of both citizenship and identity.

COMPLETE AND PRINT SOCIAL SECURITY CARD APPLICATION FORM

Once you have the necessary documents the next step would be to print out the social security card application and fill it out. Once you fill it out and print it you need to then either take it to your local social security office or mail it to the office. Click here for the application form. If you have questions or issues about replacing your Social Security card then you need to contact your local administration office.

For more questions regarding your Social Security Benefits, or want to learn Social Security Basics? Contact Faye Sykes and learn how you can maximize your benefits.

Social Security Benefit Planners (SSBP) can help you answer that question. With over 2,700 regulations governing Social Security, it’s not surprising that few people know they qualify for so much more. Our team of financial experts and researchers look at your individual life circumstances to create a report detailing your options, and help you create a strategic plan to make the most of those options. Ready to discover what you actually qualify for?

Who Needs Social Security Planning?

Anyone who qualifies to receive Social Security benefits and either hasn’t yet elected to receive their benefits or is within the first 11 months of receiving them can benefit from a detailed analysis and plan, including:

• Married couples who want to understand which options will benefit them the most
• Business owners who pay themselves little and put all or most of their money back into their business
• Immigrants who want to learn what they need to do in order to qualify for benefits
• Retirees who provide full time care for their minor children or grandchildren
• Widows and widowers with minor children
• Widows and widowers age 60 or older (age 50 or older if disabled)
• Recently married same-sex couples who want to know more about their newly qualified benefits
• Divorcees close to retirement
• Disabled persons who are unable to work
• People with unique situations who want to learn the best strategy for maximizing their benefits

We Help More Than Just Retirees

Many different circumstances could qualify you and your family for Social Security benefits. Here are just a few examples of those we’ve assisted:

• A woman whose older ex-husband had been collecting Social Security was able to file for benefits for their mutual biological minor child – delivering almost $150k of support over the next nine years.
• A recently married couple in their 60s was able to draw spousal benefits that increased their current income by nearly $13k per year, while still delaying filing for the wife’s benefits until age 70, when they will be at their highest level.
• A woman who was able to pull an extra $300 per month in benefits based on her deceased ex-spouse’s Social Security record, which she did not know she was entitled to draw on.
• A grandfather who is the full-time caregiver for his 3 minor grandchildren was able to get almost $44K per year in family benefits, which helped keep the family intact.

Read our Client Stories and see how we have helped people maximize their Social Security.  Let’s see if we can help you also.