The current Social Security laws were changed on November 2, 2015. Let’s take a minute and see how much you know about the new laws:
- How many and which years of earnings are used to calculate Social Security Benefits?
A. 30 years of your highest earnings.
B. 35 years of your most recent earnings.
C. 35 years of your highest earnings.
- Section 831 of the Bipartisan Budget Act addresses which of the following?
A. The Department of Defense spending.
B. Section 831 helps wealthy people get more Social Security income.
C. How someone’s full retirement benefit is calculated based on their earnings history.
D. Phase out of the File and Suspend and Restricted application process.
- Which of the following phrases best mirrors President Obama’s 2015 budget proposal reason for including and passing Section 831 within the Bipartisan Budget Act of 2015?
A. To prevent duplicative or excessive Social Security benefit payments.
B. To provide more Americans with the opportunity to get more Social Security payments.
C. To provide non-wage earnings spouses ways to get more Social Security payments.
D. To reduce excessive payments on widower(s) benefits.
- With respect to the BBA 2015, which of the following are correct age(s) and dates for phase out triggers or the two Social Security claiming techniques?
A. Age 66 by April 9, 2016 for File and Suspend.
B. Age 62 by December 31, 2015 for use of Restricted Application for Spousal Benefits.
C. Age 62 by April 29, 2016 for use of Restricted application for Spousal Benefits.
D. Both A and B.
- The File and Suspend Strategy:
A. Will no longer be available to retirees who were younger than 66 by April 29, 2016.
B. Is a claiming strategy that allows couples to collect Spousal Benefits while allowing their own retirement benefit to increase due to delayed retirement credits.
C. Was first used after the passage of the Senior Citizens Freedom to Work Act of 2000.
D. All of the above.
- If you file for Social Security and feel you have made a mistake, how long do you have to correct the mistake and pay back all received benefits including auxiliary benefits?
A. 2 years.
B. 1 year.
C. 5 years.
D. 3 years.
Answers are as follows:
So, how did you do? These questions are just a few of the new laws passed that must be considered before filing. Do you have enough knowledge to make a permanent decision? There is a little over three years left to take advantage of these changes…..don’t shortchange your opportunity to improve your position. Contact us at 601-954-0699 or visit our website at www.pillarsllc.com. Roy and Diane are both National Social Security Advisors and Roy is a former CPA. We are located in Mississippi but help clients throughout the United States.