Social Security Check-Ups

Open enrollment for employee benefits such as health, life, and disability insurance is right around the corner. This is the time to encourage your valued employees to review their individual Social Security statements, so they know where they stand for future benefits.

Encourage Social Security Account Check-Ups

According to the Social Security Administration, (SSA) “The average social security benefit for retired workers is $1,314 per month and $2,212 for retired couples both receiving benefits in 2016.” Social Security Administration reports used to be sent out annually until 2011. Now, these statements are mailed about every five years, but not to every individual within the system.

Open enrollment for employee benefits such as health, life, and disability insurance is right around the corner. This is the time to encourage your valued employees to review their individual Social Security statements, so they know where they stand for future benefits.

Where Employees Go For Social Security Check-Ups

Earnings history and projected benefits can be viewed directly on the website within minutes of signing up. Employees can create a secure account at www.ssa.gov/myaccount.

Why Your Employees Should Verify Their SS Benefits

There are several reasons why your employees should log in each year:

  1. Verify there are no errors. Employees should compare their latest W-2 earnings information with what is reported on the SSA website. If discrepancies are found, the individual should contact the SSA right away at 1-800-772-1213. The Form SSA-7008, “Request for Correction of Earnings Records” will need to be filed. The form can be found on the SSA website. (LINK https://www.ssa.gov/forms/ssa-7008.pdf)
  2. Review the calculated future benefits for retirement.Retirement benefits are calculated based on when the worker will retire. The benefits are shown at full retirement age (65, born before 1960 and 67, born in or after 1960), at age 70, and at an early retirement age of 62 years old. Knowing these estimates aids retirement and investment planning.
  3. Review disability benefits. If the employee were to become disabled and was unable to continue work due to a medical condition expected to last one year or a terminal disease, the employee may want to adjust short-term and long-term disability insurance needs in relation to the Social Security benefits to collect.
  4. Review survivor benefits. Benefits are paid to spouse and children left behind in the event of a tragedy. This should be reviewed to assist with life insurance planning. Unmarried children under the age of 18 are eligible to receive benefits in the event of the death of the employee, and spouses are permitted to receive benefits based on the deceased spouse’s’ earnings records. The widow can be awarded reduced benefits as early as age 60 or full benefits at full retirement age.
  5. Peace of mind. Social Security benefits and Medicare benefits need to be up to date and ready for future use. Social Security benefits and Medicare should be reviewed in order for employees to protect themselves, their spouse and children for retirement benefits, survivor benefits, and in the case of a disability.

Need some help with Human Resource Management? Contact Staffscapes today.

Written By: Jim Thibodeau