Tag: Pension

Opinion: Hundreds of retired Major League players denied pensions because of union error
Social Security Disability

Opinion: Hundreds of retired Major League players denied pensions because of union error

Biscuits pitcher J.D.
Martin talks about learning to be that rare pitching sight, a knuckleballer.
Stacy Long Six hundred forty four people who played Major League Baseball are being denied pensions by both the league and the union representing the current players, the Major League Baseball Players’ Association, because of a error the union committed 38 years ago.
In order to avert a threatened 1980 Memorial Day Weekend walkout by the players, MLB made the following sweetheart offer to union representatives: going forward, all a post-1980 player would need to be eligible to buy into the league’s premium health insurance plan was one game day of service; all a post-1980 player would need for a benefit allowance was 43 game days of service.
According to the IRS, a current MLB retiree can receive a pension of up to $220,000.
The pre-1980 players alive at the time were each awarded payments of $625 per quarter, up to 16 quarters, for every 43 game days of service the man had.
Even though Forbes recently reported that the current players’ pension and welfare fund is valued at $2.7 billion, MLBPA Executive Director Tony Clark — the first former player ever to serve as leader of the union — has never commented about these non-vested retirees, many of whom are filing for bankruptcy at advanced ages, having banks foreclose on their homes and are so sickly and poor that they cannot afford adequate health care coverage.
Patty Hilton lost her spouse only six months ago, on Sept. 17.
His widow perhaps put it best: the MLBPA “is a soul-crushing organization.” Unions are supposed to help hard working women and men in this country get a fair shake in life.
But the so-called MLBPA labor leader doesn’t seem to want to help anyone but himself — Clark receives a MLB pension and an annual salary of more than $2.1 million, including benefits, for being the head of the union.

WALA NANG DAMO KAHIT BUHAY PA ANG KABAYO | Despite longer life, nearly 40% of aging Pinoys lack pension – ILO

WALA NANG DAMO KAHIT BUHAY PA ANG KABAYO | Despite longer life, nearly 40% of aging Pinoys lack pension – ILO

In its recent World Social Protection Report 2017/19, ILO observed that the Philippines’ social protection system continues to have “serious gaps,” which can be seen in the lack of a pension for a great number of senior citizens, “despite a significant increase in allocation”.
Based on the latest available Philippine data, ILO reported that public social protection expenditure on pensions and other benefits, excluding health, for persons above the statutory pensionable age is only 0.6 percent of the gross domestic product (GDP).
Nevertheless, it pointed out that this year, the government “made efforts to increase benefit levels of senior citizens receiving contributory pension, and to increase the social pension coverage of indigent senior citizens.” It also said that health protection measures were announced in 2014 in the Philippines, making health insurance coverage automatic to citizens 60 and above, and expanding the package of health services for them.
“We think this is a good time for Philippines to follow the same path and extend protection to its elderly through the launch of a universal pension.” The Philippines was named one of the countries that have “more than doubled their public expenditure in social protection in the last 20 years,” even though public social protection expenditure, excluding health, based on the latest available Philippine data is only 0.8 percent of the GDP.
As for social protection for children, ILO mentioned the creation of conditional cash transfer programs in the Philippines, as well as neighbors Indonesia and Timor Leste.
However, “coverage levels are relatively low: in the Philippines, coverage is a mere 14 percent.” “Social protection for maternity remains a challenge,” ILO said, referring to Asia Pacific as a whole.
“Low levels of coverage are found in countries where maternity protection is limited to workers in the formal economy,” ILO added.
In particular, 3.1 percent of Filipinos with severe disabilities receive cash benefits as of the latest available data.
In terms of unemployment, ILO said “the introduction of unemployment insurance schemes is gaining momentum, with several countries, such as Indonesia, Malaysia, Nepal, and the Philippines, currently involved in national dialogue on the design of such schemes.” Related to this, ILO said, “Some countries in Eastern and Southeastern Asia, including Japan, Malaysia, Republic of Korea, Philippines, and Thailand, have a long history of implementing and gradually expanding coverage in case of employment injury.” Climate-responsive social protection ILO also touched on the design and implementation of programs “to provide climate-responsive social protection for households at risk.” It cited the Philippines post-Yolanda as an example.
With support from the ILO and local governments, program participants were affiliated to state-run social protection schemes for health and employment injury.” ILO pointed out that the bright spot in Philippines is that social protection is part of its major agenda based on the Philippine Development Plan 2017-2022, where strategies are laid out, such as “establishing an unemployment insurance system; enhancing social protection for the informal sector; improving the social pension system; expanding health insurance packages: and strengthening mechanisms to ensure enrollment in the social security system”.

Ask Larry: ​​Is Reinstatement At 70 Automatic?
Social Security Disability

Ask Larry: ​​Is Reinstatement At 70 Automatic?

Larry Kotlikoff is the founder and president of Economic Security Planning, a company that markets Maximize My Social Security, a Social Security benefits calculator referred to in this post.
Ask Larry about Social Security: Is Reinstatement At 70 Automatic?
Hi Larry, My husband suspended his retireemnt benefits at age 66 and will turn 70 later this year.
If he needs to do something is it better to do this online, in person or over the phone?
Thanks, Belle Hi Belle, Your husband’s benefits should be reinstated automatically with no action needed on his part.
Best Larry Can I Get Disability Benefits Instead Of Regular Retirement Benefits?
Can i get disability benefits instead of my retirement benefit?
So, if you are currently under age 67 and became disabled in 2014, then it’s possible that you could qualify for higher benefits on the basis of a disability.
Best, Larry Can I Avoid WEP By Withdrawing My Contributions To My Employer Retirement Plan?
Best, Larry

Ask Larry: ​​​​​​Retirement Benefits Only At 63 And Spousal At 66?
Social Security Disability

Ask Larry: ​​​​​​Retirement Benefits Only At 63 And Spousal At 66?

Ask Larry: ​​​​​​Retirement Benefits Only At 63 And Spousal At 66?.
Ask Larry about Social Security: Retirement Benefits Only At 63 And Spousal At 66?
Hi Larry, My husband who is 66 started collecting disability at age 64.
I was given advice at the same time (age 63) to collect my retirement benefit and change over to my spousal benefit when I turn 66.
Under Social Security’s rules, if you apply for either retirement or spousal benefits prior to full retirement age (FRA) and you are eligible for both, you are deemed to have applied for both benefits.
Your original options were actually as follows: 1) take both retirement and spousal benefits starting at age 63, in which case both benefits would be reduced for age, or 2) wait until FRA (age 66 in your case) and get an unreduced combined benefit equal to 50% of your husband’s full retirement age rate.
Best, Larry When Should I Start Collecting My Social Security?
Furthermore, your earnings in those years must be ‘substantial’ to count for the exception.
The basic rule is that a person’s Social Security spousal or divorced spousal benefits are reduced by 2/3rds of the amount of their non-covered government pension.
Best, Larry How Is My Mother’s Survivor Benefit Calculated?​​ Hi Larry, I’m asking for my 77 year old mother: my dad (80 years old) recently passed away.

Ask Larry: ​​​​​​Divorced Spousal Benefits Now, Retirement Later?
Social Security Disability

Ask Larry: ​​​​​​Divorced Spousal Benefits Now, Retirement Later?

Ask Larry: ​​​​​​Divorced Spousal Benefits Now, Retirement Later?.
Today’s column addresses sequencing divorced spousal and retirement benefits, whether pension survivor benefits affect Social Security benefit amounts, when to apply, the availability of divorced spousal benefits and benefits available to parents dependent on a deceased child.
Ask Larry about Social Security: Divorced Spousal Benefits Now, Retirement Later?
If I don’t work at all, can I collect on his record now and then later at full retirement collect on my own retirement benefit?
If you do go ahead and file for reduced benefits, you can earn up to $44,880 in 2017 without losing any of your benefits to the earnings test.
Best, Larry When Should I Apply For Benefits?
The earnings test only applies until you reach full retirement age, or 66 in your case, so you can draw benefits at that time regardless of your earnings.
Your husband would only be eligible for spousal benefits on your record if 50% of your full retirement age benefit rate is higher than his own full retirement age rate.
Hi Larry, I am 70 and collecting my retirement benefit.
I was told I am eligible to reapply and collect a divorced spousal benefit based on my ex husband’s record since I would receive a larger amount.

Your Retirement Planning Starts with Social Security
Social Security Disability

Your Retirement Planning Starts with Social Security

Your Retirement Planning Starts with Social Security.
And you can count on Social Security to help you begin the process.
First, we encourage you to set up an online my Social Security account so you can verify your lifetime earnings record and make sure you get credit for all of your contributions to the Social Security system through the Federal Insurance Contributions Act (FICA) payroll taxes.
If you haven’t set up your personal my Social Security account yet, you can do so at www.socialsecurity.gov/myaccount.
Then, you can use your earnings history and our online retirement estimators and calculators to get a glimpse of what your Social Security retirement future looks like.
You’ll find important details such as your retirement age, life expectancy, and estimates of how much you may receive in future retirement benefits from Social Security.
So, a responsible retirement plan includes planning for more than Social Security.
As you plan for a financially secure future, please keep in mind that our Retirement Estimator and benefit calculators provide you with estimates — not guarantees.
Our estimates may differ from your actual benefit amount if your future earnings increase or decrease, if laws governing benefit amounts change, if you’ve served in the military, or if you’ve had jobs in which you did not pay Social Security taxes.
And, as our nation’s most successful anti-poverty program, we’ll continue to provide you and millions of other Americans with financial protections to ensure a secure tomorrow.

Money, Marriage and a Big Age Gap: 6 Ways to Make Sure Your Retirement Is Safe

Money, Marriage and a Big Age Gap: 6 Ways to Make Sure Your Retirement Is Safe

As the older of you reaches retirement age, you’ll need to carefully consider how you’ll continue to invest your savings, and factor in the impact the longer drawdown period will have on the amount you can safely withdraw, especially once both of you stop working.
For instance, research has shown you can withdraw 4% of your nest egg in the first year of retirement, increase that dollar amount by inflation each year, and be confident that your funds will last for 30 years of retirement. “It can be frustrating when the older spouse has retired but can’t travel the way they want to because the younger spouse is still working,” says Parrish.
An early departure can also reduce the younger spouse’s Social Security check.
Social Security benefits are calculated by averaging your highest 35 years of pay—so if your early retirement means you won’t reach 35 years of earnings, zeros will be filled in for the missing years, taking a bite out of your potential benefit.
For example, a 72-year-old retiree with an IRA balance of $219,790—the average amount a 70-year-old has in an IRA, according to the Employee Benefit Research Institute—would have an RMD of $8,586.
That makes it possible for more of your money to keep growing, if you don’t need to tap it now for living expenses.
Note, though, that your pension amount will factor in the age and life expectancy of your spouse, so that a 65-year-old retiree signing up with a a 55-year-old spouse will get a smaller check than one whose spouse is also 65.
Still, “the 100% survivor annuity makes the most sense for couples who don’t have the strongest savings net, where the survivor would likely be relying heavily on Social Security with little other income” says Beyrer.
If most of the financial resources go to care for the older spouse, the younger spouse will be left with little to live on for what could be many more years.

Ask Larry: ​​​​​​Can My Wife Get A Spousal Benefit After Filing On Her Own Record?
Social Security Disability

Ask Larry: ​​​​​​Can My Wife Get A Spousal Benefit After Filing On Her Own Record?

Ask Larry: ​​​​​​Can My Wife Get A Spousal Benefit After Filing On Her Own Record?.
She was told by the Social Security office that, if she did this, she would not be eligible for an excess spousal benefit when I applied and took my benefit at age 66 or later.
Best, Larry Will My Wife’s Social Security Benefits Be Affected By WEP or GPO?
If someone receives a pension based on someone else’s work (e.g. spousal, survivor) outside of Social Security, it has no bearing on any type of Social Security benefit for which they are eligible.
Hi Larry, I collected Social Security when I was 62.
Hi Larry, My father is 93 years old.
Her Social Security was more than my father’s.
Thanks, Carol Hi Carol, If your father’s ex-wife’s benefit amount on her own Social Security record was higher than his benefit amount, he could potentially receive surviving divorced husband’s benefits.
Best, Larry What Filing Options Do I Have?
Hi Larry, I’m 76 years and I have been collecting since age 65.

Ask Larry: When Should I Switch To My Own Record?
Social Security Disability

Ask Larry: When Should I Switch To My Own Record?

Ask Larry about Social Security: Ask Larry *Obligatorio Ask your question here!
I did call Social Security and if I switch I would collect about $240 more a month.
And, if you’re working full-time, the Social Security earnings test may prevent you and your wife from being able to draw benefits on your record until you reach full retirement age.
Best, Larry Is Social Security Correct To Reduce My Wife’s Spousal Benefit?
She has now been informed that the GPO will be applied to her spousal pension, which will be reduced by 2/3s of her teacher’s pension ––– is this correct in this case?
Hi Larry, I am a retired teacher and am receiving a monthly pension from my retirement account.
Best, Larry Will I Switch From My Own Benefit To Spousal Benefits When My Husband Files?
Thank, Alice Hi Alice, You’ll keep receiving your own reduced retirement benefit, but you may also become eligible for an excess spousal benefit when your husband starts drawing his benefits.
You would only be eligible for an excess spousal benefit if 50% of your husband’s full retirement age benefit amount exceeds your own full retirement age benefit amount (i.e. the amount you would have received had you waited until age 66 to apply).
And, you could still file for an excess spousal benefit when he switches to his own account at age 70, assuming half of his full retirement age benefit amount is more than twice as much as yours.

How retirement affects Social Security disability benefit
Social Security Disability

How retirement affects Social Security disability benefit

Q: I am 61 years old and receiving Social Security disability benefits.
I also have the option to draw on my ex-husband’s Social Security, I believe.
— Becky Terrell A: First answer: Social Security disability benefits automatically change to retirement benefits when you become full retirement age, and the benefit amount does not decrease, says Darren Lutz, a spokesman for the Social Security Administration.
Read “What You Need to Know When You Get Social Security Disability Benefits.”
Second answer: Depending on the amount of your own benefits at full retirement age, you may be eligible to receive an additional benefit from your ex-husband’s record, says Lutz.
I have only worked for the private sector, and I will be able to collect my full Social Security benefits a few years before my wife retires.
Our concerns are whether my wife will have to be subject to the Windfall Elimination Provision (WEP) and/or the Government Pension Offset (GPO) when she retires and collects her Social Security benefits and whether she will be able to collect spousal Social Security benefits and widower benefits.
— Bruce Bothuel, Romulus, Mich. A: First, it’s worth reiterating how complex the rules are when it comes to federal retirement pensions and Social Security, and how you really ought to talk to a qualified and competent professional long before your wife and you apply for benefits.
That said, Jim Blankenship, a certified financial planner and author of A Social Security Owner’s Manual: Your Guide to Social Security Retirement, Dependent’s, and Survivor’s Benefits, offered the following thoughts on your question: “Since your wife is classified as a CSRS Offset employee, as long as she remains employed under that classification during the 60 months prior to her retirement she is considered exempt from GPO impact.
For more about GPO, read “Government Pension Offset.”