- Legal EditorHenry Dahut, J.D.
Henry Dahut, J.D.
Attorney - Legal Publisher - Educator
Henry Dahut is a licensed California trial attorney. Over the course of his 30-plus years practicing law, Henry has represented and counseled countless clients in legal trouble.
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Introduction
President Roosevelt’s most important achievement was ushering in the Social Security Act of 1935. The purpose was to provide a safety net that would protect and promote the general welfare of its citizens.
Social Security began as a social insurance program designed to provide workers 62 years or older with a continuing income after their retirement. To provide a safety net for citizens in danger of falling into a permanent state of economic despair and to provide economic security for the elderly.
About
This article provides a short and general description of the four categories of benefits under the Social Security system as of 2024. Later in this article, we discuss the ten most common misconceptions people have about their eligibility to receive and continue to receive their Social Security retirement benefits. Finally, you will hear from lawyers discussing how your retirement benefits can impact your disability benefits.
Social Security Benefits – Four Categories
As of 2024, the United States has four major categories of social security:
- Social Security For Retirement
- Social Security For The Disabled
- Supplemental Security For Severe And Permanent Impairments
- Social Security For Surviving Spouses
Social Security Retirement Benefits
Retirement Benefits is an earned benefits program that provides a limited amount of monthly income should you elect to begin collecting your benefits at the early filing age of sixty-two.
Should you wait until age 65, you will receive the full benefits you are entitled to. The higher your contribution to Social Security, the higher amount your monthly benefit will be.
Social Security Disability Benefits
Disability Benefits is a needs-based program available to people with a mental impairment such that they cannot make money on their own. The program provides the bare minimum allowance for food, shelter, and clothing.
Social Security Supplemental Benefits
Supplemental Benefit is a needs-based program that offers monthly payments to people of limited income and 65 years or older, including children who are blind or have severe physical or mental impairments.
Social Security Survival Benefits
This program is for widows and widowers age sixty or older in which one of the spouses contributed to the social security and was married for at least nine months.
Life Events That Can Limit or Terminate Benefits
According to the Social Security Administration, the following events may affect your right to collect all or part of your Social Security benefits:
Getting Married or Divorced
The first circumstance is getting married or divorced. Either one changes the economic circumstances of your living situation and, therefore, your benefits.
If you receive your spouse’s benefits, your benefits will continue unless you get divorced and are 62 years or older – unless you were married for less than ten years.
Widows Benefits
If you receive a widow or widower’s benefits, your benefits will continue if you remarry someone 60 years or older.
Disqualifying Events That Will Terminate Benefits
If you receive any other benefits, your Social Security benefits will stop when you get married. Your benefits, however, may be restarted should your marriage end.
Arrest Warrants
Suppose you have an outstanding felony arrest warrant for fleeing custody after bail has been set. In that case, you will not be eligible to receive Social Security retirement benefits for any month in which there was an outstanding arrest warrant.
Felony Convictions
If convicted of a felony and receive Social Security benefits, you will not be paid for the months you are confined. However, family members who are legally allowed to receive such benefits will continue to do so.
Suppose you violate a condition of parole or felony probation. In that case, you will not be permitted to receive Social Security benefits for any month you violated your probation or parole.
Living Abroad
Collecting Social Security Abroad: So long as you are a citizen of the United States, you can live abroad without affecting your right to continue collecting your Social Security benefits.
However, if you were living in the United States as a non-citizen, then left the U.S. to live abroad, and later wish to return to the United States, you must provide evidence of your non-citizen status from the other country to receive benefits in the U.S.
If you are authorized to work outside the United States, different rules may apply in determining whether you can receive your benefits.
If you are a U.S. citizen living abroad and returning to live in the United States, you must provide evidence of your U.S. citizenship to continue receiving benefits. You may wish to consult with a U.S. Immigration Attorney.
Ten Common Misconceptions About Qualifying for Social Security Retirement Benefits.
1. Misconception: I can start receiving my full Social Security benefits at age 62.
Reality: While you can start receiving Social Security benefits at age 62, this is considered “early retirement,” and your benefits will be permanently reduced. Full retirement age (FRA) varies depending on your birth year (e.g., 67 for those born in 1960 or later). Waiting until full retirement age, or even delaying until age 70, can increase your monthly benefit.
2. Misconception: I don’t qualify for Social Security if I’ve never worked.
Reality: Even if you’ve never worked, you may still qualify for Social Security benefits based on a spouse’s earnings record. Spousal benefits can be up to 50% of your spouse’s full retirement benefit.
3. Misconception: I only have to pay Social Security taxes once, and that is before I receive my Social Security retirement benefits.
Reality: If you continue to work after qualifying for Social Security, you still pay Social Security taxes on your earnings, regardless of whether you’re already receiving benefits.
4. Misconception: I was told that Social Security benefits are tax-free.
Reality: Social Security benefits can be partially taxable depending on your total income. Up to 85% of your benefits may be subject to federal income tax if your combined income exceeds a certain threshold.
5. Misconception: I need 40 years of work to qualify for Social Security.
Reality: You need 40 years of credits to qualify, not 40 years. You can earn up to four credits per year, so it’s possible to qualify after 10 years of work. (In 2024, one credit equals $1,640 in earnings.)
6. Misconception: If I keep working after starting to receive Social Security, the government might stop my benefits.
Reality: You can work and receive Social Security benefits at the same time. However, suppose you haven’t reached full retirement age. In that case, your benefits may be temporarily reduced if your earnings exceed the annual limit. Once you reach FRA, there’s no reduction, regardless of income.
7. Misconception: Social Security benefits are pretty much the same for everyone.
Reality: Social Security benefits are based on your lifetime earnings record. The more you earn (and pay into Social Security) over your career, the higher your benefit will be, up to a maximum limit.
8. Misconception: My Social Security will provide enough income for me to live on in retirement.
Reality: Not if it’s your only source of income. Social Security is designed to replace only about 40% of pre-retirement income for the average worker. It’s typically insufficient to cover all retirement expenses, so additional savings or income sources are essential.
9. Misconception: I fear losing all my benefits if I move out of the country.
Reality: U.S. citizens can receive Social Security benefits while living in most countries. However, there are restrictions for certain countries (e.g., North Korea, and Cuba), and you must regularly report your location.
10. Misconception: My Social Security amount is fixed once I start receiving them.
Reality: Social Security benefits are adjusted annually for inflation through Cost-of-Living Adjustments (COLAs). These adjustments help preserve the purchasing power of your benefits over time.
Watch The Attorneys of Dell Disability Lawyers Discuss How Your Retirement Benefits Can Offset Your Disability Benefits:
Locate A Social Security Lawyer
Should you have specific questions or require additional information about your legal rights and obligations, we advise you to consult a verified Social Security Lawyer about your issues as soon as possible.
