2 • The Daily Courier • 2013 Social Security
Social Security 2013 Published by The Daily Courier. All information contained in this section came from the Social Security website.
Table of Contents
Publisher Wanda Moeller
What is Social Security What is Medicare A word about Medicare Retirement benefts application What to know before applying Disability benefits Meeting the earnings requirement Survivor benefts If you're not getting benefits Supplemental Security Income
pg. 2 pg. 3 pg. 3 pg. 4 pg. 5 pg. 6 pg. 6 pg. 7 pg. 7 pg. 8
What is Social Security?
S
ocial Security is the foundation of economic security for millions of Americans—retirees, disabled persons, and families of retired, disabled or deceased workers. About 157 million Americans pay Social Security taxes and 56 million collect monthly benefits in 2012. About one household in four receives income from Social Security. Social Security is largely a pay-as-you-go program. This means that today's workers pay Social Security taxes into the program and money flows back out as monthly income to beneficiaries. As a pay-as-you-go system, Social Security differs from company pensions, which are “pre-funded.” In pre-funded retirement programs, the money is accumulated in advance so that it will be available to be paid out to today's workers when they retire. The private plans need to be funded in advance to protect employees in case the company enters bankruptcy or goes out of business.
Editor Matthew Clark Advertsing Director Lori Spurling Advertising Chrissy Driver Jill Hasty Patty Davis
The average Social Security benefit in January 2012 was The average Social Security benefit in January 2012 was: • $1,230 a month for retired workers; • $1,185 a month for widows or widowers over the age of 60; • $1,110 a month for disabled workers; • $1,878 a month for a disabled worker, spouse and one or more young children; • $2,487 a month for a widowed mother and two children. The maximum Social Security benefit for a worker retiring at the 2012 full retirement age (66) is $2,366 a month. Source: National Academy of Social Insurance
2013 Social Security • The Daily Courier • 3
Medicare has four parts
What is Medicare?
M
edicare is our country’s health insurance program for people age 65 or older. Certain people younger than age 65 can qualify for Medicare, too, including those who have disabilities, permanent kidney failure or amyotrophic lateral sclerosis (Lou Gehrig’s disease). The program helps with the cost of health care, but it does not cover all medical expenses or the cost of most long-term care. Medicare is financed by a portion of the payroll taxes paid by workers and their employers. It also is financed in part by monthly premiums deducted from Social Security checks. The Centers for Medicare & Medicaid Services is the agency in charge of the Medicare program. But you apply for Medicare at Social Security, and we can give you general information about the Medicare program.
A word about Medicare
Y
ou may think that Medicaid and Medicare are the same. Actually, they are two different programs. Medicaid is a state-run program that provides hospital and medical coverage for people with low income and little or no resources. Each state has its own rules about who is eligible and what is covered under Medicaid. Some people qualify for both Medicare and Medicaid.
• Hospital insurance (Part A) helps pay for inpatient care in a hospital or skilled nursing facility (following a hospital stay), some home health care and hospice care. • Medical insurance (Part B) helps pay for doctors’ services and many other medical services and supplies that are not covered by hospital insurance. • Medicare Advantage (Part C) plans are available in many areas. People with Medicare Parts A and B can choose to receive all of their health care services through one of these provider organizations under Part C. • Prescription drug coverage (Part D) helps pay for medications doctors prescribe for treatment. You can get more detailed information about what Medicare covers from Medicare & You (Publication No. CMS-10050). To get a copy, call the Medicare toll-free number, 1-800-MEDICARE (1-800-633-4227), or go to www.medicare.gov/publications. If you are deaf or hard of hearing, you may call TTY 1-877-486-2048.
Signing up for Medicare If you are already getting Social Security retirement or disability benefits or railroad retirement checks, you will be contacted a few months before you become eligible for Medicare and given the information you need. If you live in one of the 50 states or Washington, D.C., you will be enrolled in Medicare Parts A and B automatically. However, because you must pay a premium for Part B coverage, you have the option of turning it down. NOTE: Residents of Puerto Rico or foreign countries will not receive Part B automatically. They must elect this benefit. If you are not already getting retirement benefits, you should contact us about three months before your 65th birthday to sign up for Medicare. You can sign up for Medicare even if you do not plan to retire at age 65. Once you are enrolled in Medicare, you will receive a red, white and blue Medicare card showing whether you have Part A, Part B or both. Keep your card in a safe place so you will have it when you need it. If your card is ever lost or stolen, you can apply for a replacement card on the Internet at www.socialsecurity.gov or call Social Security’s toll-free number. You also will receive a Medicare & You handbook (Publication No. CMS-10050) that describes your Medicare benefits and plan choices.
4 • The Daily Courier • 2013 Social Security
Learn about the Social Security retirement benefits application
Social Security offers an online retirement application that you can complete in as little as 15 minutes. It's so easy. Better yet, you can apply from the comfort of your home or office at a time most convenient for you. There's no need to drive to a local Social Security office or wait for an appointment with a Social Security representative. In most cases, once your application is submitted electronically, you're done. There are no forms to sign and usually no documentation is required. Social Security will process your application and contact you if any further information is needed. Who can use it? You can apply online for retirement benefits or benefits as a spouse if you: • are at least 61 years and 9 months old; • are not currently receiving benefits on your own Social Security record; • have not already applied for retirement benefits; and • want your benefits to start no more than 4 months in the future.
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2013 Social Security • The Daily Courier • 5
What do I need to know before I apply? • If you are applying for retirement benefits, there are certain Social Security "basics" you should know. The most important one is knowing your "full retirement age." Depending on your date of birth, it may be between age 65 and 67. This could affect the amount of your benefits and when you want the benefits to start. • You may start receiving benefits as early as age 62. However, your monthly benefits will be reduced if you start them any time before "full retirement age." • If you elect to receive benefits before you reach full retirement age, you should understand how continuing to work can affect your benefits. • You should also be aware that credits may be added to your benefits if they start after your full retirement age. • If you live to the average life expectancy for someone your age, you will receive about the same amount in lifetime benefits no matter whether you choose to start receiving benefits at age 62, full retirement age, age 70 or any age in between. • Please read Other Things to Consider for information about other things you should think about when you make your decision about when to begin your benefits. Some of the things you should think about before you decide include: • how long you think you will receive benefits, • your health and • whether anyone else in your family can get benefits on your record. 374 Hudlow Road * PO Box 336 * Forest City, NC 28043 Hospice (828) 245-0095 * Palliative Care (828) 245-8471 Toll Free 1 (800) 218-CARE * Clinical Fax (828) 248-1035 Admin Fax (828) 245-5389 * Lake Lure Office (828) 625-0365 www.hospiceofrutherford.org
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DESCRIPTIONS
Hospice
Drugs for Pain Control and Symptom Management Supplies and Equipment
YES
Services covered whether or not the patient is homebound Deductibles Waived Inpatient care providing respite for the family Continuous care at home during periods of crisis Counseling services at home for both the patient and family Home Health Aides Bereavement Counseling Volunteer Services
Palliative Care
Home Health
NO
NO
YES
NO
NO
YES
YES
NO
YES YES YES YES
NO NO NO LIMITED
NO NO NO NO
YES
NO
YES
YES YES
YES NO
NO NO
Care must be continued if benefits run out Outpatient Therapies
YES YES
NO NO
NO NO
Inpatient: must have Hospice continuity of care
YES
NO
NO
24 Hour on call
YES
NO
YES
6 • The Daily Courier • 2013 Social Security
Who can get Social Security disability benefits?
Disability benefits
D
isability is something most people do not like to think about. But the chances that you will become disabled probably are greater than you realize. Studies show that a 20-year-old worker has a 3-in-10 chance of becoming disabled before reaching full retirement age. This booklet provides basic information on Social Security disability benefits and is not intended to answer all questions. For specific information about your situation, you should talk with a Social Security representative. We pay disability benefits through two programs: the Social Security disability insurance program and the Supplemental Security Income (SSI) program. This booklet is about the Social Security disability program.
Meeting the earnings requirements?
I
n general, to get disability benefits, you must meet two different earnings tests: 1. A “recent work” test based on your age at the time you became disabled; and 2. A “duration of work” test to show that you worked long enough under Social Security. Certain blind workers have to meet only the “duration of work” test. The following table shows the rules for how much work you need for the “recent work” test based on your age when your disability began. The rules in this table are based on the calendar quarter in which you turned or will turn a certain age.
Social Security pays benefits to people who cannot work because they have a medical condition that is expected to last at least one year or result in death. Federal law requires this very strict definition of disability. While some programs give money to people with partial disability or short-term disability, Social Security does not. Certain family members of disabled workers also can receive money from Social Security.
How do I apply for disability benefits? There are two ways that you can apply for disability benefits. You can: Apply online at www.socialsecurity.gov; or Call our toll-free number, 1-800-772-1213, to make an appointment to file a disability claim at your local Social Security office or to set up an appointment for someone to take your claim over the telephone. The disability claims interview lasts about one hour. If you are deaf or hard of hearing, you may call our toll-free TTY number, 1-800-325-0778, between 7 a.m. and 7 p.m. on business days. If you schedule an appointment, we will send you a Disability Starter Kit to help you get ready for your disability claims interview. The Disability Starter Kit also is available online at www.socialsecurity.gov/disability.
2013 Social Security • The Daily Courier • 7
How to apply for survivor benefits
Survivor benefits
Y
ou can earn up to four credits each year. In 2013, for example, you earn one credit for each $1,160 of wages or self-employment income. When you have earned $4,640, you have earned your four credits for the year. The number of credits needed to provide benefits for your survivors depends on your age when you die. The younger a person is, the fewer credits he or she must have for family members to receive survivors benefits. But no one needs more than 40 credits (10 years of work) to be eligible for any Social Security benefit. However, benefits can be paid to your children and your spouse who is caring for the children even if you don't have the required number of credits. They can get benefits if you have credit for one and one-half years of work (6 credits) in the three years just before your death.
If you already get benefits: If you are getting benefits on your spouse's or parent's record when he or she dies, you should report the death to us. Call our toll-free number, 1-800-7721213 (TTY 1-800-325-0778). You can also call or visit your local Social Security office. • We'll automatically change any monthly benefits to survivor benefits after the death is reported to us. • We may be able to pay the Special Lump Sum Death Benefit automatically. If you are getting retirement or disability benefits on your own record, you will need to apply for the survivor benefits. Call our toll-free number, 1-800772-1213 (TTY 1-800-325-0778). You can also call or visit your local Social Security office. If you don't get benefits, see Page 14.
If you are not getting benefits If you are not getting benefits, you should apply for survivor benefits promptly because, in some cases, benefits may not be retroactive. You can: • Call our toll-free telephone number 1-800-772-1213. If you are deaf or hard of hearing, you can call us at TTY 1-800325-0778. • Call or visit your local Social Security office. When you apply, please be ready to supply the information we need to approve your application for: • The Lump-Sum Death Benefit, • Widows, Widowers, Or Surviving Divorced Spouse Benefits, • Mother's Or Father's Benefits, (You
must be caring for a dependent child of the deceased,) • Dependent Child, • Parent's Benefits (You must have been dependent on the worker for 1/2 of your support at the time of his or her death.) Also, we may need to see the following documents: • Proof of death (either from funeral home or death certificate); • Your Social Security number, and the deceased family member's number; • Your birth certificate; • Your marriage certificate if you are the widow or widower; • Proof of U.S. citizenship or lawful alien status if you were born outside the
United States; • Your divorce papers if you are applying as a surviving divorced spouse; • Dependent children's Social Security numbers and birth certificates, if available; • Deceased worker's most recent W-2 forms or federal self-employment tax return; • The name of your bank and your account number so your benefits can be directly deposited into your account. Public records like your birth certificate and marriage or divorce records must be the originals or copies certified by the issuing agency. We cannot accept uncertified photocopies. We will return the documents to you.
8 • The Daily Courier • 2013 Social Security
What is supplemental security income?
T
he Supplemental Security Income (SSI) program pays benefits to disabled adults and children who have limited income and resources. SSI benefits also are payable to people 65 and older without disabilities who meet the financial limits. People who have worked long enough may also be able to receive Social Security disability or retirement benefits as well as SSI.
How do I apply for SSI? We do not have an SSI application online. If you would like to apply for SSI benefits for: An adult with a disability • Fill out the online disability report to get the process started; and
• Schedule an appointment with a Social Security representative to complete the process. If you do not wish to fill out the online disability report, contact us for an appointment.
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