Whether you plan on receiving social security or your family member does, there are many changes to expect in 2013. It is important to note which changes will be coming about and how they could affect the recipient.
For starters, payments will be increasing by 1.7 percent in 2013. Recipients will get about $21 more; social security checks will be approximately $1,261 in the New Year. The payments are adjusted based on inflation as measured by the Consumer Price Index for Urban Wage Earners and Clerical Workers.
The treasury will also stop mailing paper checks to social security beneficiaries beginning March 1st, 2013. Recipients can choose to receive a Debit MasterCard or have their check deposited directly into their bank account or credit union. We’ve noted the importance of having a bank account before, so this is just another reason to add to the list.
Workers who plan to start collecting should note that the maximum amount of benefits you may receive will also increase by $40.
If you’re still working but collecting social security you will be able to make $480 more before any of your social security payment is withheld. How much you receive may be based on your full retirement age and at what age you decide to start collecting.
Finally, the payroll tax cut will expire in 2013; workers will now pay 6.2 percent of their income into the social security system, a 2 percent increase from this year.
Starting in 2011 the first of those who are part of the baby boomer generation will turn 65; this is the generation that included over 70 million births. It is important that baby boomers and those already collecting social security be informed of all these changes.
Although many of these changes are set to move forward, we cannot predict that anything else will or will not happen. Keep up with any changes that may come about and research how the social security changes in line for 2013 might affect you or your loved ones. Identity theft and and social security fraud is a growing problem among seniors, AmOne can help you find solutions to protect your loved ones and yourself. Contact AmOne today to get your questions answered for free.