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Tuesday, January 22, 2013

Clever yet Lawful Ways to Boost Your Social Security Benefits – PART 1

In a previous news report, the Social Security Administration (SSA) claimed that the average monthly Social Security benefit for a retiree by 2013 is approximately at $1,261. Consequently, that is just $15,132.00 a year, which is apparently hardly enough to cope with financial challenges these days.

Therefore, several Los Angeles Social Security Disability lawyers share some insights  that they have gathered in their years of experience. Below are few tips on how recipients could boost their social security payments during their retirement:

Maximize your years of employment

Generally, social security benefits are calculated based on a wage-earners’ 35 highest-earning working years. Unfortunately, if you have years with zero income averaged in – it will decrease your future pay out.

Ask for an increase

As recently explained, Social Security considers the 35 highest-earning years of your career. Therefore, having a jump in salary will definitely boost your future earning from the federal fund.

Take a second job

The more you work results in more earnings you may get. Also, the same logic applies to the recently explained social security protocol.

Wait for your full retirement age to claim benefits

Usually, a beneficiary can start collecting Social Security benefits as early as the age of 62. However, your payment will likely be reduced by 25 percent for life. Consequently, it is best to start collecting benefits once you reach your full retirement age which is 66-67.

Wait until you reach 70

Apparently, waiting until you reach the age of 70 is the best option. The agency offers a special credit which it calls “delayed retirement credits”. The agency provides a benefit increase of eight percent in every year you delay digging into the federal fund – up until the age of 70. Therefore, waiting for a just a few years will definitely mean nearly a third more income for life.

In addition, if you mistakenly took your benefit as early as your full retirement age, you could still have the chance to avail the said policy by repaying all the benefits you have received so far. Subsequently, you may then restart at a higher level based on your age.

Make use of online tools in your advantage

You may use online tools provided by the agency to know the best time to secure online agency. The agency’s MyAccount page is purposely created to estimate recipients’ benefits once they reach their early retirement age of 62, full retirement age of 66, or at the age of 70. Incidentally, there are lots of online tools with various uses available to recipients.

Meanwhile, more tips on how to boost your social security benefits will be further provided on the next blog post of the social security disability benefit lawyers herein.