Social security was basically insurance or savings used by the old-aged, survivors or disabled as federal insurance. The original social security act was signed by President Franklin Roosevelt in 1935. Currently, social security serves as social insurance and social welfare programs, including the issuance of Social Security benefits. The retired employees or their spouses who have paid into the social security system during their employment receive social security benefits monthly. Social Security benefits are also available to qualifying individuals who are completely and permanently disabled and are qualified by specific criteria. FinanceShed has some interesting facts as to social security benefits.
Factors affecting Social Security Benefits
Your Health and family history affect social security benefits on a greater extent. If you suffer from severe illness or have a family history of severe diseases such as heart problems, cancer or other such illnesses you shall choose to retire early and take your retirement benefits as early as possible. This is completely subjective and the period of taking retirement benefits differs from person to person. Also on the contrary, if you are healthy and have a healthy family history then you can take a chance to delay filing and get the maximum benefit.
The other thing affects your social security is your consideration towards your Spouse and their future. The concerns obviously differ when you are single and married. If you are married you have the responsibility of your spouse and your concern is naturally about the Social Security Spousal Benefits. What will happen to your spouse if you die first. The rule here is that when one of the spouses dies, the comparatively lower Social Security payments go away. It is important to avail higher earners benefit when possible in order to have a secure future.
Benefits to the different class of People
Retirement Benefits are the core reason one take social security benefit. The employees who have worked in covered employment gets retirement benefits when they retire at age 62. To be eligible for this you must have worked a total of at least ten years at a nongovernmental job. You have an option to choose your retirement benefits at any time after your retirement that is normally 62 years of age but in order to receive more benefits; it is advisable to start receiving it between 65 to 67 years of age to receive other incentives.
Another benefit received is Disability benefits. If you are not at your retirement age but have worked for the minimum period required and have declared disabled as per the Social Security program’s medical guidelines, you can receive benefits that are equal to what your full retirement benefits would be.
Dependents also get benefitted from the Social security benefit scheme. If you are a spouse of a retired or disabled employee who already qualifies for social security benefits, you are eligible for social security benefits. Also, your minor or disabled children qualify for Social Security retirement or disability benefits.