New Social Security Law Goes Into Effect May 1, 2016…
What Benefits are You Losing?
Morning Toni:
I understand I can file on my ex’s Social Security benefits, and then postpone my Social Security check (file and suspend) and I could get 8% more per year on my benefits. Do I need to do this in person at the Social Security office? I turned 66 at the end of last month: 12.25.15 and that is my full retirement age.
How does HR 1314, the new Social Security law effect this? Do you have any information on this new law that was part of the new budget bill?
~ Thanks, Merry from West U.
Merry:
I do not have good news for you because if you or any of my readers are considering applying for their ex-spouse’s Social Security benefits the rules changed regarding Social Security and various ways one can apply for their current spouse’s or ex-spouse’s benefits.
The change took place last November 2 when Congress approved the Bipartisan Budget Act of 2015 (HR 1314).
Merry, you have until Friday, April 29th to apply for your divorced spouse’s spousal benefit because the new Social Security law goes into effect May 1, 2016.
Yes, you do want to go in person to apply for your benefits to be sure all paperwork is done properly.
After May 1st it is estimated that American seniors stand to miss out of $11.4 billion in Social Security benefits because of the radical Social Security reform in this Bipartisan Act.
Below are the other Social Security filing strategies, which will no longer be available after May 1, 2016:
- “File and Suspend” rule for married couples
- “Restricted” application for collecting a spousal benefit while letting their own Social Security benefit rise by 8% until age 70
- Other Social Security rule changes can be found in the Bipartisan Budget Act of 2015.
Social Security was meant to have been only a supplement and not a main source of retirement income. In today’s times, 3 out of 4 seniors rely on Social Security as their retirement income.
As baby boomers are aging, it is estimated that 11,356 Americans become eligible daily to receive their Social Security benefits. These changes to the boomers Social Security benefits are considered a sneaky tax because your benefits are being reduced.
In the past 2 weeks, I have received more questions about when and how to apply for Social Security and Medicare benefits because the stock market has dropped and the oil industry has ramped up more layoffs. Americans are more concerned than ever because this has been the worst New Year’s start in history.
Not only is the stock market crashing, but also now the one government program that a majority of the aging population counts on is slowly changing.
Bloomberg says, “Most people do not know how to take full advantage of Social Security”.
Social Security is the best way you have to improve your financial future for yourself and your family. Knowing how to apply properly for your Social Security benefits and what Social Security new rules are is vital to your retirement future.
Concerned about Social Security and Stock Market changes and how both affect your retirement…join Toni King at the 2016 first Taxes and Crashes Workshop sponsored by Toni Says and E3 Wealth: Thursday, February 18th from 6:30PM to 7:30PM at the Stafford Centre 10505 Cash Rd, Stafford, TX 77477. RSVP: 832/519-TONI (8664) as seating is limited.
Toni King is the author of the new Medicare Survival Guide® which is on sale at HERE. For consultation in enrolling in Medicare or choosing a Medicare plan that meets your needs email Toni at ASK TONI or call 832/519-TONI (8664).
