Social Security retirement benefits are available to American workers who have paid into the system throughout their working years. Originally established after the Great Depression, Social Security is a supplemental retirement program designed to ensure retired citizens have some level of income from which to live after they stop working. Social Security benefits make it possible for all individuals who have worked and paid into the Social Security fund to count on a benefit check that will provide income to cover living expenses and other financial needs once they are retired.

Give me my check!

For many people Social Security is the only retirement benefit that they can count on, while others will add this income to distributions from other retirement accounts they have funded throughout the years. Here we take a closer look at some common questions asked about Social Security retirement benefits.

How old must you be to apply for benefits?

When you can apply for benefits will largely depend on your unique situation. The official retirement age is determined by the year in which a person was born. For example, those born after 1960 have an official retirement age of 67. That being said, a person can begin receiving benefits when they are 62 years of age or at age 60 if they are a widow or widower who has not remarried.

How long does it take to get your first social security check?

It is recommended that individuals contact Social Security three months prior to the date they would like benefits to start to go over options available. Once an application for benefits has been submitted, the applicant can expect benefits to begin one month following their entitlement month. If your entitlement date (the period when an individual meets the minimum age of retirement) is in July, your first social security check will arrive in August.

How do you apply for benefits?

When you are ready to apply for Social Security benefits, you can apply in a number of ways. For individuals living in the United States, applications can be taken over the phone, online or by visiting a local Social Security office. Individuals who do not reside within the United States or any of its territories must contact the nearest U.S. Social Security office, Embassy or consulate.

Are there drawbacks to collecting early retirement?

It is recommended that any individual who is able to delay collecting Social Security until their retirement age do so. When you begin collecting early retirement (age 62) your benefit check will be less than if you had waited until your retirement year. When considering what age to begin benefits it is very important to look at your own financial situation and needs to better determine if retiring early is an option that should be considered.

When it comes to Social Security retirement benefits, there are rarely questions that have a simple “one size fits all” answer. There are many factors that go into how much money you are entitled to, how much money you will receive and when. You must also consider other sources of income and how that might affect your financial situation throughout retirement. One thing is certain for all individuals; retirement planning is very important to ensure maximum benefits and protection of assets which you will rely on for the remaining years.

Economic times have been tough for everybody-especially the baby boomer.  In a recent survey, almost have of Americans say they will begin collecting Social Security at age 62.  Most boomers share the notion of “It’s my money, why not take it now”.  Where as others feel by waiting till normal retirement age to collect the full benefit is the answer.

Boomers Relying Too Much on Social Security?

Currently, Social Security represents over 1/3 of an an average retiree’s income.  Almost 37 percent to be exact.  With many soon to be retirees on the verge of turning 62 and collecting their checks, many experts feel that many are too dependent on those checks to get them through retirement.  Unfortunately, many retirees have underfunded their retirement plans, and this leaves them with no other choice.

Have to Pay the Bills

If a retiree elects to defer to 66 to collect their first check, they will expect a 7% annual increase on their money.  Try and get that in the stock market or at your local bank!   But most boomers just can’t wait.  Hard economic times are forcing them to collect their checks now and pay for required living expenses.  The reality is although knowing that the check will be bigger down the road, somebody has to pay for the utility and food bills in the present time.  That “somebody” is their social security check.

How Much Is Your Check

Surprisingly, those expected to have their Social Security check represent half of their retirement income didnt’ even know how much their check was going to be.  More than 3/4 of those planning on taking Social Security at 62 don’t even have an income or financial plan in place.

Do Some Planning

Retirement is one of the most important time of your lives.  Be sure to sit down with a planner and make sure you have a map in place.  You wouldn’t go on a long trip without a map, would you?  Well, retirement is the longest trip of your life.  Got it?

Other Good Reads:

Go To Retirement: Reason to Delay Taking Social Security to Age 70

Consumer Commentary: The Mythical Demise of Social Security