It is well known that the Social Security Administration (SSA) offers programs that provide retirees with monthly payments. But, have you ever wondered how much you really know about the program, how it works, or what it does for retirees? Read on to learn about this essential program.
Programs Provided to Retirees
The Social Security Administration (SSA) provides 3 essential programs for senior citizens:
1. Social Security Retirement Benefits
This is a program focused on providing income for retirees. To qualify for these benefit payments, individuals must have paid into the system and earned 40 credits. To earn a single credit, individuals must pay $1,510 into the program via Social Security taxes; individuals may only earn up to 4 credits each year.
Additionally, there are many other rules that retirees and future retirees should be aware of.
2. Survivor Benefits
Individuals who have had a spouse pass away could be eligible for survivor benefits. These benefits provide widow(er)s aged 60 or older with monthly payments.
Unfortunately, this program does not allow beneficiaries to receive both their benefit payments as well as survivor benefits.
3. Medicare
This government program provides health insurance for individuals 65 and older. While this program is run by the Centers for Medicare and Medicaid Services, the Social Security Administration handles the enrollment to Medicare Parts A and B. Additionally, beneficiaries should understand that portions of their benefit payments will be withheld to pay for Medicare premiums.
While this seems reasonable, it is important to understand that the annual cost-of-living adjustment (COLA) increases to benefit payments do not account for healthcare payments; this includes Medicare premiums. Unfortunately, because of this, retirees are finding their COLA increases eaten up by these premiums.
The Bottom Line
These three programs, while helpful to senior citizens, need improvements; that’s where the Senior Security Alliance comes in. Our groundbreaking bill is the start to a more financially secure retirement for all senior citizens.
To learn more about our organization and how we’re planning to help, check out our bill. Then, make sure to follow us on Facebook and Twitter to stay informed on all our progress and learn more about Social Security overall.
