Category: Social Security
May 9, 2023 — Topretirements.com just named a Republican Senator and a Democratic Congressman as 2023 National Legislators of the Year. Senator Bill Cassidy (R.LA) and Representative John Larson (D. CT) were selected for the honor in recognition of their bi-partisan efforts to forge a solution for the impending Social Security crisis.
According to the Social Security 2023 Trustees Report, its reserves will become depleted by 2033, with continuing contributions sufficient to pay only 77 percent of scheduled benefits. As they do every year, the Trustees Report urged legislative action to avoid a funding shortfall that will eventually hurt every working American’s retirement security. Check this out" "What Is Your Social Security IQ?"
Representative Larson has developed the most specific bill seen so far to fix Social Security. Social Security 2100: A Sacred Trust, addresses 15 specific points to improve this popular benefit, and includes a strategy for shoring up its finances. Some of his ideas include making up for past COLA adjustments with a modest benefit bump, repealing the Windfall Elimination Provision, and providing caregiver credits. His plan to bolster the Trust funds includes a payroll tax on wages over $400,000 per year (currently that stops at $160,200).
Senator Cassidy is co-leader of a Senate group that is trying to protect Social Security. A joint statement made earlier this year by that group said that they are considering dozens of ideas to protect Social Security. The group stresses that it’s important to look at all the components of a solution together, especially in the context of the crisis we face if nothing is done. There are dozens of considerations being weighed to protect Social Security, including locking early retirement at 62, an ironclad protection for lower-wage workers, and seeking avenues to increase benefits immediately.
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Published on May 9, 2023
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Category: Social Security
April 5, 2023 — The Trustees of the Social Security and Medicare trust funds report on the current and projected financial status of the two programs each year. This summarizes the findings of the 2023 Trustee reports. As in prior years, it found that the Social Security and Medicare…
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Published on April 5, 2023
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Category: Financial and taxes in retirement
Updated Feb. 2025 — (March 30, 2023) — It might come as an unpleasant surprise to many people that Social Security benefits can be taxed on both the federal and the state level. But which states tax social security income? While there is no escaping the federal tax if…
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Published on March 29, 2023
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Category: Medicare
February 7, 2023 — The debt ceiling is one of the big issues in the new Congress. How it plays out should be interesting, with Republicans narrowly controlling the House and the Democrats with a slight edge in the Senate. Some lawmakers think that Social Security and Medicare funding…
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Published on February 6, 2023
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Category: Financial and taxes in retirement
January 28, 2023-- Myths, misunderstandings, and just plain faulty thinking occur in retirement, just like they do in every other phase of life. This "10 Myths That Could Sink Your Retirement" article explains that, unlike earlier stages in our careers, where there might be a second chance at recovery, a mistake in your retirement can be serious. That's why it is key to avoid these common retirement myths and mistakes. Many, but not all of them have to do with money. We welcome other people's insights on the best and worst decisions they made in retirement - please add them to the Comments section below.
Top 10 Retirement Myths and Mistakes
Assuming you will work 'til you drop. Asked when they think they will retire, most people say between 65 and 67 - and many much later, if ever. But in the actual world, a Gallup poll said the average retirement age is closer to 61. The reasons for this vary greatly, but common ones are being laid off unexpectedly, or getting injured or sick and unable to work. The ramifications of retiring earlier than expected are serious, because it usually means that expected retirement savings do not materialize.
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Published on January 28, 2023
Comments 12
Category: Medicare
October 13, 2022 — It has been four decades since the Social Security COLA (Cost of Living Adjustment) was this high. The government announced the increase today, which came in as widely expected at 8.7%. The rate was calculated on a formula based on current rates of inflation. For…
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Published on October 10, 2022
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Category: Financial and taxes in retirement
June 29, 2022 -- More than a few retirees on Social Security turn down work that they would like to do. The concern is that their benefits will be reduced, thus making the effort not worthwhile. To help people understand how work might affect your Social Security benefits, here are the facts to help you decide the best course of action. But the good news first - over the long term, working has no negative impact on your benefits, and might even help.
Reached Full Retirement Age - no problem!
If you have reached your Full Retirement Age (FRA) - 66 if you were born in 1954 or before, gradually reaching 67 for those born in 1960 or later - there is no impact. You can work and earn as much as you want and it will not affect your Social Security benefit in any way.
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Published on June 28, 2022
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Category: Social Security
June 6, 2022 — Social Security Trust Funds are now projected to last one year longer, as outlined in the latest Trustees Report. High employment rates and lower disability claims, it seems, have increased contributions to the retirement fund (OASI). Thanks to those, instead…
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Published on June 6, 2022
Comments 12
Category: Social Security
April 14, 2022 — As anyone who reads this Blog regularly knows, Topretirements is a big fan of waiting as long as you can before you start to collect Social Security. But that is not to say there aren’t many good reasons to take it early, or at least…
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Published on April 13, 2022
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Category: Financial and taxes in retirement
March 23, 2022 – A worrying study by the University of Michigan’s Retirement and Disability Research Center found that many workers tend to overestimate how much they will receive in Social Security retirement benefits. That is concerning because that overconfidence has a negative impact on how much…
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Published on March 22, 2022
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