We realize it may be a stretch for ordinary people to want to keep up with the comings and goings of the Social Security Administration, but sometimes circumstances permit where someone does want to follow the latest news regarding the agency due to a possible retirement or disability interest. This blog is an ongoing piecemeal of recent stories that have involved Social Security. Some are tidbits and some are important things that should be known in the world of retirement or disability and others are just interesting stories and nothing more.
2018 A Turning Point For The Trust Funds
A recent article penned by Social Security expert Philip Moeller and published by PBS News Hour points out a significant event related to the health of the Social Security trust funds. Despite the fact that there were $2.9 trillion surplus dollars combined in the old age and disability trust funds at the beginning of 2018, Moeller points out, “for the first time, benefits paid in 2018 will be more than the sum of payroll taxes from current workers plus the interest earnings on those trust-fund assets.”
Basically Moeller explains for the first time, Social Security is paying out more than it is taking in, and the trend will continue in future years, eventually reducing the $2.9 trillion surplus to 0 in just 16 short years without any intervention from Congress. Obviously something needs to be addressed to fix the problem over the next few years.
National Disability Forum Is Oct. 30
Social Security will hold a National Disability Forum on October 30, 2018, at the Partnership for Public Service in Washington, D.C. The topic will be “Advance Designation of Representative Payees.” The morning session of the forum will have panelists discussing how advance designation can improve future financial management. The afternoon session will feature panelists sharing how to leverage advance designation to improve the Representative Payee selection process. Check for additional information on the forum as it becomes available at www.socialsecurity.gov/thirdparty/whatsnew.html.
Did You Know The Retirement Age Is Increasing?
No need to panic, there is not major news about the increase in Social Security age passed by Congress that you missed, at least not yet, but the full retirement age will increase in 2019.
The deal to gradually increase the retirement age was passed decades ago and the retirement age is based on what year someone was born. For everyone born in 1960 and later the full retirement age is 67, but those born a few years prior to 1960 can collect full retirement benefits a bit earlier. As an example, someone born in 1957, who will turn 62 in 2019 and become eligible for early retirement benefits for the first time, will reach full retirement age at 66 and six months. This is two months older than people who were born in 1956. The full retirement age will further increase in two-month increments over the next couple of years until it finally reaches 67, unless Congress acts before that and increases the retirement age even more.
