SSBP Learning Library - Page 4 of 5 - Social Security Benefit Planners

Stop Screwing Yourself, Business Owners!

Posted on July 6, 2017 by fsykes - Business Owners, Social Security Benefits

Business owners typically prioritize the success of their company over other financial goals. That’s a good thing in general, but it’s important to keep a balance or you could be creating a host of long-term financial problems for yourself while you’re trying to do the right thing.

A common pattern I see with my clients is that they pay themselves as little as possible and put the vast majority of the available money back into the business. That may be good for the business but it’s not necessarily a smart move for your overall financial picture. When it’s time for retirement, problems arise:

Little Social Security income. By keeping the amount you pay yourself low over the years, you deprive yourself of Social Security benefits you might have been able to collect later. The amount of monthly benefit you receive is calculated based on your average earnings over a 35-year period. If you didn’t pay yourself much, the government won’t either.
Minimal retirement savings. When you plough all the profits back into the company you reduce the amount available to fund your personal retirement account. That means you don’t have a substantial nest egg that’s growing to take care of you once you’re ready to hand the business over to new owners.
Expecting too much. Selling your business when retirement beckons may deliver a nice bundle to provide for your financial needs in the coming years. Then again, it might not. Economic conditions shift, and the type of business you own can make a huge difference in the amount you can actually sell it for.

Take care of your business, but be sure to look out for your own best interests as well. Paying yourself a fair wage and investing in assets like equities and real estate are just as important as that new equipment or extra staff member your company could use. The money you pay into Social Security and invest privately will work together to give you a higher income in retirement than you’d have otherwise.

If you’re not sure how much you should be paying yourself or investing, please contact us today and we’ll help you find the right balance. You deserve a comfortable retirement!

Social Security Benefit Planners
800.270.SSBP (7727) [email protected]

Are Employees of Foreign Governments Covered by Social Security?

Posted on July 5, 2017 by fsykes - Social Security Benefits

Working inside the U.S. as an employee of a foreign government or an instrumentality of one can mean you’re not covered by Social Security. These workers include diplomats, embassy employees, non-diplomatic representatives, consular officers and employees of foreign government instrumentalities (non-commercial organizations that function on behalf of a foreign government).

Whether or not your work will be counted toward Social Security benefits is controlled by your citizenship status.

U.S. Citizens who work for a foreign government are treated as self-employed citizens are for Social Security. Your employer will not withhold Social Security taxes but your earnings can still count toward your coverage under the program. You are responsible for paying self-employment taxes on the income. Citizens who work for an instrumentality are covered by Social Security, but their earnings may be treated as employment or self-employment based on three conditions. The U.S. Department of State and the IRS will determine which category your work falls into.

Non-citizens are not covered by Social Security for work they perform for a foreign government. Their employment for an instrumentality of a foreign government may or may not be covered by Social Security, depending on same three conditions mentioned above.

Dual citizens who hold citizenship in the U.S. and another country are covered by Social Security in most cases, but depending on the country for which they are working, they may need to pay self-employment taxes or not. Dual citizens who work for an instrumentality of a foreign government may or may not be exempt from paying Social Security taxes on their earnings. Reciprocal social security agreements between the U.S. and foreign governments vary by country, so it is important that dual citizens speak with a qualified professional or governmental administrator to determine program eligibility and tax responsibilities.

If you want to understand options that pertain to your situation please go to our “Select a Plan” and sign up for one of our planning options. Use FOREIGN2017 to receive $50 off any plan.

Social Security Experts

Posted on June 28, 2017 by fsykes - Social Security 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.

How to maximize your Social Security

Posted on June 28, 2017 by fsykes - Social Security Benefits

Deciding when and how to claim Social Security benefits is one of the most important financial decisions that most retirees will ever make. Despite changes to two key claiming rules that took effect last year, there are still enormous opportunities to maximize lifetime benefits for married couples, divorced spouses, survivors and dependents.

Individuals who were at least 66 years old and who filed and suspended their benefits by the April 29, 2016, deadline are grandfathered under the old rules. The action triggered benefits for a spouse or dependent child, even if the family members become eligible for benefits after the deadline. Meanwhile, the worker’s own retirement benefit continues to grow by 8% per year up to age 70.

The one date you need to know about the new rules for married couples and divorced spouses: Jan. 1, 1954. Eligible individuals who were born on or before that date can still claim only spousal benefits when they turn 66 and collect half of their mate or ex-mate’s full retirement age benefit while their own retirement benefit grows by 8% per year. At 70, when the delayed retirement credits end, they can switch to their own maximum benefit.

Ex-spouses who were married at least 10 years, divorced and currently single can collect on their ex’s Social Security record as if they were still married. Divorced spouses born on or before Jan. 1, 1954, can claim only spousal benefits — even if their ex has not yet claimed benefits — if both former spouses are at least 62 years old and they have been divorced at least two years. Ex-spouses born after that date must file for their highest benefits based on their age at time of claim.

Social Security beneficiaries can change their mind and withdraw their application for benefits within the first 12 months of claiming them. But there’s a catch. They must repay all the benefits they have received and any family benefits collected on their earnings record. Later, they can restart their benefits at a higher amount based on their new claiming age.

If they miss that 12-month window, they can voluntarily suspend benefits — but not repay — to earn delayed retirement credits of 8% per year up to age 70. They cannot collect any benefits during the suspension period nor can anyone collect benefits on their record during that period.

There are more…If you want to maximize your Social Security Benefits, have Social Security Benefit Planners set up a strategy for you. Select a plan and let’s get to work.

Social Security for LGBT Americans

Posted on June 28, 2017 by fsykes - LGBT Benefits

There has been some confusion in the LGBT Community as to exactly how Social Security works for same sex couples. As Social Security Benefit Planners we have LGBT clients who regularly call us and ask these very important questions. Here is the low down. Social Security recognizes same-sex couples’ marriages in all states, and some non-marital legal relationships (such as some civil unions and domestic partnerships), for purposes of determining entitlement to Social Security benefits, Medicare entitlement, and eligibility and payment amount for Supplemental Security Income (SSI).

Five pieces of information same-sex couples should know:

Marital status is important — same-sex couple can receive Social Security benefits when a worker retires, becomes disabled, or dies. We also consider marital status when we determine eligibility and payment amount for Supplemental Security Income.
What type of benefits can you receive — Social Security taxes pay for three kinds of benefits: retirement, disability, and survivors. If you‘re entitled to benefits, your spouse and eligible family members might receive benefits, too.
Children may receive benefits — your children or stepchildren could also be entitled to benefits.
When you apply for benefits is important — if you’re married or have entered a non-marital legal relationship, we encourage you to apply right away, even if you’re not sure you’re eligible. Applying now will protect you against the loss of any potential benefits.
Report life changes right away — you should let us know immediately if you move, marry, separate, divorce, or become the parent of a child. Don’t wait until we review your benefits to tell us about any changes. You should report changes right away so benefits are paid correctly.

On June 26, 2015, the U.S. Supreme Court issued a decision in Obergefell v. Hodges, holding that same-sex couples have a constitutional right to marry in all states and have their marriage recognized by other states. This decision made it possible for more same-sex couples and their families to benefit from our programs.

It’s important to have Social Security Benefit Planners look at how to maximize your social security. Don’t leave your money on the table! Most people don’t realize they qualify for more than the standard payout, or that delaying when they start their benefits can actually result in more income in the long run. Select the service plan that best fits your needs and let’s secure the Social Security benefits you qualify for.

Top 7 Reasons that you should NOT have a plan to maximize your Social Security Retirement Income

Posted on May 24, 2017 by fsykes - Retirement Benefits, Social Security Benefits, Social Security Myths

Even though your dreams were to always travel the world you didn’t save enough and love to watch “Rick Steve’s Europe” and “An Idiot Abroad” instead. It still feels like you are there, right?
Living in a 600-square foot rental apartment in retirement with no spectacular view was in the future plans.
Or even better was your life long goal to move into the in-law suite on your kid’s property- now this could be extra fun!
Being able to order anything off the dollar menu at any fast food restaurant always rocks – YUM.
Not having the option to NOT work well after you wanted to retire. Hi Ho, Hi Ho off to work we go.
Your 1982 Dodge Colt isn’t pretty but still gets you from A to B.. just not C.
Delaying, reducing the dosage or not purchasing all your needed prescriptions because of the high cost. Who needs their health anyway!

Of course we want people to travel, have decent housing and food, the option to retire when they want and being able to take care of their health.

Did you know that almost 50% of Americans opt to take Social Security as early as they can and therefore lock themselves in up to a 30% permanent reduction in Social Security retirement income? We have helped many individuals and families see how they can increase their annual income anywhere from 3k to 30k per year.

Now that is some real Clams, Cheddar or Dough back in your pocket.

You paid into this over your whole career why not make the most of this valuable insurance program!

To get our free e-book go to www.socialsecuritybp.com or sign up to get your own customized plan to get your extra Clams today!

Not associated with or endorsed by the Social Security Administration or any other government agency.

Social Security Expert Faye Sykes on the Air with Radio Host Dana Barrett

Posted on May 22, 2017 by fsykes - Radio Shows

Faye Sykes, CEO of Social Security Benefit Planners joined us in studio during hour one of today’s show! Faye explained the right time to take social security and how she and her company is able to help families maximize their social security benefits.

During hour two, Jackie Cannizzo, Executive Director of JCI Foundation joined us to dish on two upcoming events you don’t want to miss! The JCI Foundation will host the Judson Women’s Leadership Conference on June 20th at the Cobb Galleria; a great opportunity for women to learn and be inspired by successful leaders from all walks of life.

https://soundcloud.com/dana-barrett-clips/social-security-benefit-planners-faye-sykes-on-maximizing-your-retirement-income

The Birth of Social Security in America

Posted on May 16, 2017 by fsykes - Social Security Benefits

We take Social Security for granted, but where did this important insurance program come from and when did it start? It hasn’t been around forever, has it? The answer is no. Social Security began after the Great Depression, when millions of Americans who had lost their savings were facing an old age defined by stark poverty. Few workers had pensions through their jobs, and President Franklin Roosevelt wanted to do something to alleviate the poverty that faced so many older workers in their retirement years.

Since its creation in 1935, millions of retirees have been able to live more comfortably because of this national insurance program, which they collectively funded through payroll taxes during their working years you will see this as FICA on your payroll statement. Though Social Security wasn’t meant to be the only source of income for beneficiaries, it was in its early years and, unfortunately, it still is today for many. As per Social Security fact sheet in 2017 21% of married couples and 43% of unmarried persons rely on Social Security for 90% or more of their income. Many people do not realize that this is a program that has a life insurance, disability and retirement income benefits that you and your family can benefit from.

With changing demographics that include more retirees and fewer workers, Social Security has had to evolve over the years. President Reagan signed into law several revisions to Social Security after Congress passed suggestions made by the Greenspan Commission, which had reviewed the program’s financial picture. These changes included an increase in the payroll tax that pays for benefits as well as a gradual increase in the retirement age, from 65 to 67.

In the future, it’s likely that more changes will have to be made to keep the program financially sound. The prospect can sound alarming, but making necessary tweaks to keep a valuable program that provides millions of Americans with the basic income they need is well worth the effort. Long live Social Security!

For a full customized projection of your Social Security income please sign up for a plan option or learn more at www.socialsecuritybp.com.

Not associated with or endorsed by the Social Security Administration or any other government agency.

Broke as a Joke? Social Security’s Finances

Posted on May 8, 2017 by fsykes - Social Security Benefits

Is Social Security broke? Reading the news can sometimes leave you with the impression that Social Security is practically out of money. This massive program provides key income and takes in millions of dollars each year, but is it going belly-up?

Here’s how it works. The payroll taxes that you and everyone else pay each month (FICA and Medicare) go to the treasury, where they are counted as credits to the Social Security Trust Fund. Those who receive Social Security benefits get their money from what’s paid in, but there is some left over. The excess is invested in special issue U.S. Treasury bonds, which earn interest. The interest is credited to the trust fund, as well.

Right now, more money comes into the program through taxes and interest than goes out in benefit payments. Years of this excess pay-in has created a surplus that amounted to $2.7 trillion by 2014’s close. That figure will continue to increase until 2019, when the surplus is expected to reach $2.8 trillion.

But as the Baby Boomers retire and smaller birth cohorts begin to fill the ranks of the workers whose taxes fund Social Security, there will be more money going out in the form of benefits than there is coming in through payroll withholding taxes. At that point, the treasury bonds that the Social Security Trust Fund owns will be needed to help cover the benefits that beneficiaries receive.

The program is expected to fully utilize its surplus in 2034, which will leave payroll taxes as the only source with which to make benefit payments. According to current projections, those taxes will cover approximately 79% of the anticipated amount needed. Congress will have to decide whether to cut benefits or increase funding, which they could easily do by raising the limit on the amount of income to which FICA and Medicare taxes apply.

Social Security isn’t exactly going broke, but it will need to be tweaked in order to provide the benefits that today’s workers have been promised when they retire. Do you have an opinion on how to handle the future shortfall in the program’s budget? Let your senators and representatives know!

To receive your own customized Social Security benefit projections please visit our website www.socialsecuritybp.com to learn more or sign up for a plan.

Not associated with or endorsed by the Social Security Administration or any other government agency.

Social Security Is More than Just a Retirement Plan

Posted on May 3, 2017 by fsykes - Retirement Benefits, Social Security Benefits

Social Security Isn’t Just for Retirement

When you think of Social Security, you probably think about retirement. It’s true that the program provides critical income for millions of retired Americans, but Social Security also does much more.

Designed as a safety net to provide older people who could no longer work with a basic income, Social Security has grown into a much broader safety net over the years, offering financial benefits to protect not only retirees, but also disabled workers and the families that have lost a family member.

Just a few years after the program began, it was expanded to provide benefits for the spouse and any minor children of a deceased worker. Starting in 1939, survivors could receive financial support from Social Security if the family’s breadwinner died. This makes it function as the largest life insurance program in the country, although it’s not generally considered to be one.

Would you think of the payroll deductions you contribute to Social Security as disability insurance premiums? Probably not, but in 1954, Social Security also began making payments to disabled workers and their dependent spouses and/or children. Trying to purchase the same kind of disability protection that Social Security offers can be prohibitively expensive, or even impossible for some workers. With Social Security, everyone who has worked enough to buy into the program is covered. Typically, you need to show that you have earned over the minimum amount to vest currently $5,200 per year five out of the last ten years.

Retirement benefits are an important and well-known part of Social Security, but don’t mistakenly believe that’s the only thing it does. Social Security protects working Americans and those who depend on them in many different and equally valuable ways.

There are over 2,700 regulations that oversee Social Security which affect life, disability and retirement benefits. Please check out our website www.socialsecuritybp.com to learn more or to sign up for a customized plan.

Not associated with or endorsed by the Social Security Administration or any other government agency.

Social Security Is a Lifesaver for Many Women

Posted on April 25, 2017 by fsykes - Social Security Benefits

Social Security a Women Lifesaver

Social Security is a retirement, disability and life insurance program and if you’re a Woman, this can be a lifesaver in retirement. It’s not that women are more interested in a financially secure old age than men. Americans of both sexes rely on Social Security for critical support in their retirement years, but for a variety of reasons, it’s often women who depend on it the most.

Longer lives – Women, on average, live longer than men. Without sufficient private retirement savings, this longevity can result in Social Security being the sole or majority source of income. The potential of running out of retirement savings is a problem that affects many retirees, but because of their longer life expectancy, more women end up counting on Social Security alone to support them.
Smaller paychecks – Sadly women on average don’t earn as much as men. They often work in fields that are lower-paid than those where men predominate, and even in the same job women frequently earn less than a man does in the same position. Fair? Maybe not, but it’s a fact. That makes it harder to save for retirement and reduces pension benefits, where they exist. As a result, Social Security often forms a greater part of women’s retirement income than men’s.
Fewer working years – Between raising children and caring for aging parents, women often take years out of their careers that men do not. While some men do choose to stay home with children or serve as caregivers for parents, it is far more likely that a woman will do so, statistically speaking. Since the formula that determines Social Security benefits is biased toward lower-earning workers, women get some protection from the hit they would otherwise take from a shorter work history.
Less other retirement income – Men are more likely than women to have pensions through their jobs, and to have larger pensions than the women who do qualify (partly because of women’s shorter work histories and lower wages). Without this additional income in retirement, women tend to be more dependent on the benefits they receive from Social Security than men are.

Social Security shouldn’t be your only plan for retirement income, but whether or not it is supplemented by private savings, if you’re a woman, it’s a critical component. Having a plan with your spouse before taking benefits can make a huge difference in how much money is available in retirement. Sign up today to have your own customized Social Security plan www.socialsecuritybp.com or [email protected].

Not associated with or endorsed by the Social Security Administration or any other government agency.

Social Security Benefits for Children

Posted on April 18, 2017 by fsykes - Children's Benefits, Social Security Benefits

You would be surprised to know that according to the Social Security Administration, there are approximately 4.4 million children who receive $2.5 billion in aid each month.

Children of disabled, retired or deceased parents may receive Social Security benefits, which are intended to help families provide for their children through high school. When a parent dies or becomes disabled, Social Security is given to help the family meet the financial needs of the family. The law also protects unmarried and dependent grandchildren who were being cared for by the deceased, disabled, or elderly.

What children qualify for Social Security? It makes no difference whether your child is adopted, biological, or dependent step children, they maybe eligible if they meet certain requirements.

Has a parent(s) who is disabled or retired and eligible for Social Security benefits.
Is unmarried.
Is younger than 18 years old or up to age 19 if he or she is a full time high school student.
Is 18 years or older and disabled (as long as the disability began before the individual turned age 22).

How to Receive Benefits

First, the family must present the child’s birth certificate, the parents’ Social Security number and the child’s Social Security number. There may be additional documents required as well. Depending upon the circumstances, the applicant must provide a parent’s death certificate and/or evidence of disability from a doctor.

If your child is disabled, the Social Security Administration has a fact sheet and starter packet to help you navigate the process of receiving benefits. This information will guide you along the path to sign up for and obtain benefits and includes a frequently asked questions section as well.

If you are taking care of a child and are receiving benefits, then his or her benefits may stop at a different time than your own. For example, if the child is not disabled, then the caretaker’s benefits will terminate when the child turns 16 years old. If the child is disabled and you have responsibility and control of the child, then your benefits may continue. For these types of specific circumstances, it’s best to contact the Social Security Administration.

The Social Security benefit for children is an important government tool to help keep families — especially the youngest of the bunch — solvent during times of death and disability. Be sure to check in with the Social Security Benefit Planners in evaluating your own case.

Redo for Social Security Retirement Benefits

Posted on April 17, 2017 by fsykes - Retirement Benefits

Did you sign up early to start receiving Social Security benefits? If you’ve only recently begun to take benefits, you can still change your mind. For the first twelve months that you’re receiving Social Security income, you have the option to reset this to a later date and increase your payments.

During the initial year, you can halt your monthly payments and delay benefits to get further increases with age 70 being the maxed benefit. This flexibility comes at a cost though; you’ll have to pay back any amount you have already received. For some people, doing so is worth it, if you took benefits at age 62 this is up to a 30% reduction in benefits for the rest of your life. Each year you delay between ages 62 and 70 gives you a nice increase. If you’re the breadwinner in your family ideally you should wait as long as possible as a survivor spouse only gets the higher of the two.

It isn’t just the currently calculated benefits that will be affected, either. Since Social Security cost of living increases (COLA) are figured as a percentage of your current benefits, delaying until full retirement age or longer means that each year you receive benefits you’ll have a higher amount from which to calculate annual COLA increases.

Unless you really need Social Security income as soon as you are eligible, it’s usually best to wait until your full retirement age or when it maxes out at age 70. One of our Social Security retirement advisors can help you find the best time to take benefits, or help you halt benefits now to increase your retirement income later. www.socialsecuritybp.com to read more, [email protected] or call 877-270-SSBP (7727)

Not associated with or endorsed by the Social Security Administration or any other government agency.

Social Security & Your Full Retirement Age: Are you leaving retirement money on the table?

Posted on April 12, 2017 by fsykes - Retirement Benefits

The Social Security term “full retirement age” or FRA is unfamiliar to many people, but it shouldn’t be. Your birth year is one of two factors in determining your Social Security retirement income. Your full retirement age (FRA) is the point at which you can begin taking Social Security retirement benefits at the full amount based on your individual work history. The second factor is how much you paid into the Social Security insurance program which is shown as a FICA deduction. If you have not pulled your statement recently you can go to www.ssa.gov to review your personal history.

Although you can elect to take benefits as early as age 62, that’s rarely a good idea. Taking benefits before your FRA will cost you big-time – as much as 30% of your monthly benefits! So, what is your full retirement age? That depends on when you were born. Congress has gradually raised the FRA, meaning that it is different for different birth cohorts. There are some nice increases in your Social Security retirement checks by delaying your start date with age 70 being when your benefits max out.

For those born in 1954 or earlier, the FRA is 66 years. You can start collecting full benefits as soon as your 66th birthday. Those born later will have to wait a bit longer before taking retirement benefits to receive the full amount:

Birth Year Full Retirement Age
1943-1954 66
1955 66 years and 2 months
1956 66 years and 4 months
1957 66 years and 6 months
1958 66 years and 8 months
1959 66 years and 10 months
1960 or later 67 years

Almost 50% of American’s elect to take Social Security at age 62! Don’t risk losing almost a third of valuable retirement income but not understanding the true cost of taking this early.

Sign up today to have one of our Social Security retirement advisors www.socialsecuritybp.com help you understand when is the best time to start taking benefits.

Not associated with or endorsed by the Social Security Administration or any other government agency.

Social Security Expert Faye Sykes on the Air with Radio Host Eric Holtzclaw

Posted on April 4, 2017 by fsykes - Entrepreneurs, Radio Shows

Planning today for tomorrow. Social Security expert Faye Sykes, NSSA, CLTC, National Social Security Advisor and CEO of Social Security Benefit Planners joined radio show host Eric V. Holtzclaw on Build Your Best Business to highlight steps all entrepreneurs can take to protect their retirement income.

Faye shares what inspired her to enter into this niche market and add on to her current services to help both new and existing clients and expand her business. LISTEN NOW!

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