4 Critical Social Security Facts Retirees Must Know
June 28 2018
Today, Social Security benefits represent on average a third of retirees’ income.5 Nearly 90% of Americans 65 and older receive some type of Social Security benefits. About half of married couples and 71% of unmarried people on Social Security rely on the benefits for at least 50% of their incomes. Nearly a quarter of married couples and about 43% of unmarried people rely on Social Security for at least 90% of their income.
Here are four important changes to Social Security implemented in 2018:
- Social Security recipients receive a 2% increase in payments in 2018. The Social Security Administration (SSA) attempts to match benefits to inflation.
- The maximum taxable earnings limit rose to $128,400 (from $127,200 in 2017). Earnings above that limit are not taxed. Workers’ Social Security tax remains at 6.2%.
- The full retirement age continues to rise. It is scheduled to increase by two months each year until 2022, when it reaches 67.
- Earning limits are expected to increase. Social Security recipients who work will find their benefits temporarily reduced. We’ll discuss many of these items in greater detail later in this report.
We’ll discuss many of these items in greater detail in our Free Guide; in addition to several important facts you must know.
Developing a plan with an understanding of how to optimize your Social Security may make retirement easier and more comfortable.
Working with a financial advisor will help equip you to find the solutions that will fit your retirement lifestyle.
We can help you analyze your financial situation to develop a strategy for achieving your retirement vision.
If you or anyone close to you would like to discuss how to maximize your Social Security benefits with a professional, please give our office a call at [303-741-9772] to schedule a complimentary consultation.