Tag: Retirement

Here’s the Average Social Security Check for Retired Workers, Survivors, and the Disabled
Social Security Disability

Here’s the Average Social Security Check for Retired Workers, Survivors, and the Disabled

Whether you realize it or not, there’s likely no social program more important to the financial well-being of seniors in this country than Social Security.
What you may not realize is what Social Security does for more than 19 million other people each month.
How much do retired workers, survivors, and the disabled receive each month from Social Security?
The average retired worker benefit Retired workers accounted for almost $60 billion of the $80 billion paid out in January, and comprise 42.6 million of the 62 million total beneficiaries.
It’s also worth pointing out that the Social Security Administration (SSA) suggests the average retiree should aim to replace 40% or less of their wage income with payouts from Social Security.
The average monthly payout for survivors According to the latest Social Security snapshot, the SSA paid an average of $1,152.22 to “all survivors,” which is an average of the nearly 6 million people receiving a check each month, including nondisabled and disabled widow(er)s, children of deceased workers, widowed mothers and fathers, and parents of deceased workers.
In the case of a widow or widower, as long as the survivor benefit is higher than what they’d receive each month based on their own work and earning history, they can claim the higher survivor benefit.
The average check for disabled workers Last but not least, nearly 8.7 million disabled workers receive an average monthly payout of $1,197.07, working out to $14,363.84 a year.
As with the other categories, the average disabled worker will earn enough from Social Security to move above the federal poverty level, but not by much.
Should an individual have worked, but not have reached 40 lifetime work credits prior to their long-term disability, a reduced-credits scale relative to age can be used that, in many instances, qualifies a disabled worker for monthly benefits.

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.

3 Things You Can Do to Prepare for Retirement Right Now
Social Security Disability

3 Things You Can Do to Prepare for Retirement Right Now

We’re with you throughout life’s journey, and that includes retirement planning!
Most financial advisers say you will need about 70 percent of pre-retirement income to live comfortably in retirement, including your Social Security benefits, investments, and other savings.
A solid retirement plan includes planning for more than Social Security.
When the time comes to take that giant step into retirement, Social Security’s online services can help guide you in this new journey.
Use these services to help prepare yourself for a financially secure retirement: Check your earnings for accuracy With a my Social Security account, you can view your earnings history, confirm you have enough work credits to retire, and see estimates of what your benefits will be.
Determine the best age for you to retire Our Retirement Estimator is a great tool that provides you with immediate and personalized estimates based on your own earnings record.
Estimate your benefits now!
Retire online After you have viewed your earnings history for accuracy, confirmed you have enough work credits to retire, and determined the best age for you to retire, you can get started on the next phase of your life right away by retiring online!
Retire online today!
This National Social Security Month, remember that Social Security is here to help you secure today and tomorrow.

California official who guided workers comp reforms retires
Welfare

California official who guided workers comp reforms retires

The California Department of Industrial Relations is providing limited details on the announced retirement of Christine Baker, the department’s longtime director who helped execute reforms to curb workers compensation fraud and rein in painkiller prescribing, among other measures.
According to Ms. Baker’s March 30 announcement, sent via email to colleagues and provided to Business Insurance on Tuesday, the department’s leader retired that day after 34 years of service.
“Since our major reforms to workers’ compensation in 2012, we have increased benefits and improved care to injured workers, including increased benefits for permanently disabled workers,” Ms. Baker wrote.
“At the same time, these reforms prevented a rate spike for employers and instead led to rate reductions.
With evidence-based medicine, the prescription drug formulary and new tools we have been using to combat fraud, we are improving the treatment of injured workers and suspending from the system those who had profited through fraud at the expense of both workers and employers.” California Labor and Workforce Development Agency Secretary David Lanier praised Ms. Baker in a statement made the same day and provided to Business Insurance on Tuesday: “Through her thoughtful leadership, the department has worked with employees and employers to achieve what was once thought impossible — a workers compensation system that has increased benefits, improved medical care for injured workers and lowered rates for employers, a first in the nation heat standard for outdoor workplaces and the most protective regulation in the nation for the safety and health of refinery workers and surrounding communities.” Labor and Workforce Development Agency Undersecretary André Schoorl will be serving as acting director for the department, Mr. Lanier wrote.
A department spokesperson said there are no other details available about Ms. Baker’s resignation.

3 Things Americans Get Wrong About Retirement
Unemployment

3 Things Americans Get Wrong About Retirement

The age at which they’ll retire Most Americans think they’ll work well into their 60s.
You’ll also have fewer years to save, and Social Security benefits will be reduced if you must claim them early.
The best thing to do is to invest as much as possible as early as possible to build a nest egg to support you if you’re forced into early retirement.
How much they’ll receive in Social Security income Social Security is designed to replace only around 40% of pre-retirement income, while 53% of future retirees and 59% of recent retirees responding to Nationwide expect benefits to cover at least half of expenses.
Most people overestimate what Social Security will do for them because they think their benefits will be bigger than they are.
Most future retirees expect they’ll receive $1,578 in Social Security benefits, which is more than the average monthly benefits received by current retirees.
How much they’ll spend on healthcare Future retirees responding to Nationwide indicated they expected to spend 20% of Social Security benefits on healthcare.
Around a quarter of retirees said healthcare costs are preventing them from having the retirement they expected.
Since the average monthly benefit for a 62-year-old retiree is just $1,076, according to the Social Security Administration, healthcare could take half of your Social Security check.
And, if you have serious health problems, things could be even worse.

3 Things Americans Get Wrong About Retirement
Social Security Disability

3 Things Americans Get Wrong About Retirement

The age at which they’ll retire Most Americans think they’ll work well into their 60s.
You’ll also have fewer years to save, and Social Security benefits will be reduced if you must claim them early.
The best thing to do is to invest as much as possible as early as possible to build a nest egg to support you if you’re forced into early retirement.
How much they’ll receive in Social Security income Social Security is designed to replace only around 40% of pre-retirement income, while 53% of future retirees and 59% of recent retirees responding to Nationwide expect benefits to cover at least half of expenses.
Most people overestimate what Social Security will do for them because they think their benefits will be bigger than they are.
Most future retirees expect they’ll receive $1,578 in Social Security benefits, which is more than the average monthly benefits received by current retirees.
How much they’ll spend on healthcare Future retirees responding to Nationwide indicated they expected to spend 20% of Social Security benefits on healthcare.
Around a quarter of retirees said healthcare costs are preventing them from having the retirement they expected.
Since the average monthly benefit for a 62-year-old retiree is just $1,076, according to the Social Security Administration, healthcare could take half of your Social Security check.
And, if you have serious health problems, things could be even worse.

How Special Payments After You Retire Affect Your Social Security Benefit
Social Security Disability

How Special Payments After You Retire Affect Your Social Security Benefit

After you retire from your job or self-employment, you may get payments for work you did before you started receiving Social Security benefits.
We call those “special payments.” Usually, special payments will not affect your Social Security benefit, if they are for work done before you retired.
You should consider this when evaluating your work activity.
Starting with the month you reach full retirement age, you can receive your full monthly benefit no matter how much money you earn.
If you were self-employed, any net income you receive after the first year you retire counts as a special payment if you performed the services before you began receiving Social Security benefits.
“Services” are any regular work or other significant activity you do for your business.
You can find more information and examples of special payments by reading Special Payments After Retirement.
If you want to learn more about the earnings limit, please read How Work Affects Your Benefits.
Got another question about Social Security?
Social Security’s online services are here to put control at your fingertips.

66% of Millennials have nothing saved for retirement
Unemployment

66% of Millennials have nothing saved for retirement

Most Millennials are not on track when it comes to saving for retirement.
But a new report shows just how far off track they might be.
For those people, Boneparth finds “nothing wrong” with not saving for retirement as long as they’re honest with themselves about what their financial goals are.
About one-third are saving for retirement.
If they are saving, it’s likely their employer offers a retirement plan, like a 401(k).
More than 94% of Millennials who are eligible for a workplace retirement plan are saving.
But Millennial workers in particular often find they don’t meet the eligibility requirements for a 401(k) even if their employer offers one.
About 25% of Millennials said they were not eligible to participate in an employer-sponsored retirement plan because of their part-time status.
Loosening these eligibility qualifications would increase the number of Millennials saving for retirement, the report said.
Of course, people can save for retirement without an employer sponsored plan.

4 Questions to Ask Yourself as You Plan for Retirement
Social Security Disability

4 Questions to Ask Yourself as You Plan for Retirement

Should you claim benefits earlier and get a smaller monthly payment for more years?
What will my monthly Social Security retirement benefit be?
The average monthly Social Security benefit for a retired worker in 2018 is $1,404 (up from $1,377 in 2017).
The average monthly Social Security benefit for a disabled worker in 2018 is $1,197 (up from $1,173 in 2017).
The amount of your average wages that Social Security retirement benefits replaces varies depending on your earnings and when you choose to start benefits.
Most financial advisers say you will need about 70 percent of pre-retirement income to live comfortably in retirement, including your Social Security benefits, investments, and other savings.
Your Social Security retirement benefits will provide continuous income for as long as you live, protecting you even if your other sources of income run out.
Discover your life expectancy with our online calculator.
Or you may wait until after your full retirement age, increasing your benefit amount by up to 8 percent per full year to age 70.
Social Security is with you through life’s journey, and we’re here to help you prepare for a financially secure future for you and your family.

The Remarkable Financial Benefits of Delaying Retirement
Social Security Disability

The Remarkable Financial Benefits of Delaying Retirement

Or you could achieve the same result by retiring two years and five months later than you had been planning to.
Bronshtein, Scott and Slavov all got their doctorates in economics from Stanford in the past 15 years and are now working at, respectively, Cornerstone Research, Financial Engines and George Mason University.
The authors look at scenarios for different incomes, living arrangements and rates of return.
The working-longer effect is strongest for those with the lowest incomes: If you make $21,996 a year, delaying retirement by just two and a half months has the same effect as saving 1 percent of earnings for 30 years, while delaying retirement by a little over three weeks is equal to saving 1 percent for 10 years.
This is because those with lower incomes get a higher percentage of their expected retirement earnings from Social Security, and claiming Social Security later results in higher monthly benefits.
Nearly half of retired-worker 1 Social Security recipients start claiming benefits at the earliest possible age, 62, and receive much-reduced benefits as a result.
And if you’re already planning to work to age 70, delaying retirement past that won’t net you any additional Social Security benefits.
Similar math does apply, though, to savings in 401(k)s and other retirement accounts, and it doesn’t stop applying at age 70.
This column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.
It appears to get its rates from ImmediateAnnuities.com.