Solvency Concerns – Social Security funds may face shortages by 2034, potentially reducing benefits
Work Credits Matter – You need at least 40 work credits (10 years of work) to qualify for Social Security benefits
Full Retirement Age (FRA) – FRA varies based on birth year (66-67 for most retirees)
Early vs. Late Claiming – Claiming before FRA reduces benefits; delaying beyond FRA increases them (up to age 70)
Earnings Limit – If you work while collecting benefits before FRA, income above $22,320 (2024 limit) can reduce payments
Taxation of Benefits – Up to 85% of Social Security benefits may be taxable based on income
Cost-of-Living Adjustments (COLA) – Benefits adjust annually for inflation, but increases vary each year
Spousal & Survivor Benefits – Spouses may claim benefits based on their partner’s record, even after their death
Medicare Tied to Social Security – Enrolling in Medicare at age 65 is crucial to avoid penalties
Future Changes Possible – Congress may modify Social Security rules, including raising the retirement age or adjusting payroll taxes