Social security benefits
I will be turning 65 this September. I only have 33 quarters paid in. I currently have a municipal pension. My wife works as a teachers aid and did turn 65 this year. She does have 40 quarters paid in.
My understanding is I will receive 50% of my wife’s SS monthly benefits. My question is can I increase my monthly benefit if I pay more money into SS before I apply for benefits? I wonder by how much I need to earn to receive more monthly benefits?
I signed up for ‘Maximize My Social Security ‘. And am not sure how to project that type of information.
Also regarding Medicare will I I ave to pay for the free ‘Part’?
Terry Says
First of all, did you do any “covered” work on which FICA was deducted? If so, you will be entitled to “some” Social Security benefits. My suggestion is that you work until your full retirement age, nearly 67, before claiming them. Your benefit will be reduced by the WEP — windfall elimination provision– because of your pension.
Your wife also might have earned a teacher’s pension — I’m not sure from your description of her job. In that case her SS benefits would also be offset (reduced) because of that pension.
Did you really go through the process of inputting information from both of you into the MaximizeMySocialSecurity software? There is a way to get help with the answers once you sign up and do that. And you will get specific answers to the impact of each of your pensions on your eventual benefits. Please do that and then write back if you still don’t understand the best strategy to maximize your income over your lifetime.
If you ask Social Security you have less than a 50/50 chance of getting the right answer. Kotlikoff’s software is factually correct.
Oh, and if you qualify for Medicare via Social Security, Part A is free. Part B changes annually and is typically deducted from your SS check. And you’ll need to buy a supplement and Part D (prescription drugs). Review your choices at Medicare.gov. Unless you have better healthcare at work, you should be signed up for Medicare Part A now, to start taking it at age 65.
