{"id":2345125,"date":"2024-09-24T06:21:02","date_gmt":"2024-09-24T10:21:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/social-security-stakes-debunking-myths-surrounding-social-security-benefits-washington-examiner\/"},"modified":"2024-09-24T06:26:30","modified_gmt":"2024-09-24T10:26:30","slug":"social-security-stakes-debunking-myths-surrounding-social-security-benefits-washington-examiner","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/social-security-stakes-debunking-myths-surrounding-social-security-benefits-washington-examiner\/","title":{"rendered":"Social Security stakes: Debunking myths surrounding Social Security benefits &#8211; Washington Examiner"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">24<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fsocial-security-stakes-debunking-myths-surrounding-social-security-benefits-washington-examiner%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2345125&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The article\u2064 discusses common myths surrounding Social \u200cSecurity\u200b benefits, \u200ca significant\u2062 social welfare program in the United \u200bStates \u200cthat serves approximately 68 million retirees and individuals with\u200d disabilities, distributing around $93 billion monthly. Despite its popularity, with over 90% of U.S. adults \u200bsupporting it, various misconceptions persist.<\/p>\n<p>Key myths debunked \u200binclude:<\/p>\n<p>1. **Social Security will run out of money**: While \u2064the program faces funding challenges, especially as the aging population grows, it won\u2019t\u200c completely deplete its funds due\u2063 to ongoing payroll tax contributions. However, \u200bwithout reforms, the surplus may be exhausted by 2035, potentially reducing benefits\u2062 to 79% of scheduled amounts.<\/p>\n<p>2.\u2062 **Undocumented immigrants drain Social Security benefits**: This is false as undocumented \u200cimmigrants cannot claim\u2062 benefits\u2062 since they lack Social Security numbers. In \u200cfact, they contribute to the program financially, boosting the fund.<\/p>\n<p>3. **Social Security income isn\u2019t taxed**: \u2062This has changed \u200dsince 1983 when \u2064certain benefits became taxable \u2064depending on\u200b a\u200b beneficiary&#8217;s income\u200b level.<\/p>\n<p>4. **Inflation outpaces\u2064 Social Security benefits**: The \u2063program actively adjusts payments to\u200c align\u2064 with inflation through annual cost-of-living adjustments (COLAs).<\/p>\n<p>5. **Social Security benefits start at age 65**: The <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/social-security-update-first-round-of-january-payments-worth-4873-goes-out-wednesday\/\" title=\"First January Social Security payments of ,873 to be sent out on Wednesday\">full\u2062 retirement age<\/a> has gradually increased to \u200b66 years and 2 months and will reach \u206367 for those born in 1960 or later. Individuals can start claiming benefits at age\u2064 62 but at a \u2062reduced rate.<\/p>\n<p>The article\u200d emphasizes the importance of understanding these myths to better appreciate the structure and sustainability of Social Security benefits.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-header-search-button-mob dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-mobile-search-icon td-icon-search\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div class=\"tdb-drop-down-search\" aria-labelledby=\"td-header-search-button\">\n<div class=\"tdb-drop-down-search-inner\">\n<form method=\"get\" class=\"tdb-search-form\" action=\"https:\/\/www.washingtonexaminer.com\/\"><\/form>\n<div class=\"tdb-aj-search\"><\/div>\n<\/div>\n<\/div>\n<p><a href=\"http:\/\/www.washingtonexaminer.com\/#\" role=\"button\" aria-label=\"Search\" class=\"tdb-head-search-btn dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-search-icon td-icon-search\"><\/i><\/a><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<h1 class=\"tdb-title-text\">Social Security stakes: Debunking myths surrounding Social Security benefits<\/h1>\n<div><\/div>\n<div class=\"tdb-title-line\"><\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div id=\"Brid_1731477\" class=\"tpd-featured-video bridtv\"><\/div>\n<p><a href=\"https:\/\/www.washingtonexaminer.com\/tag\/social-security\/\" target=\"_blank\" rel=\"noopener\" title>Social Security<\/a> is one of the largest forms of social welfare in the United States. The agency <a href=\"https:\/\/www.ssa.gov\/news\/press\/factsheets\/basicfact-alt.pdf\" target=\"_blank\" rel=\"noopener\" title>pays out<\/a> around $93 billion a month to nearly 68 million retirees, along with people with disabilities and their family members.&nbsp;<\/p>\n<div class=\"article-paywall\">\n<p>It&rsquo;s a wildly popular entity. More than 90% of U.S. adults across the political spectrum support the program, according to a 2021 AARP <a href=\"https:\/\/www.rizzoinsurance.com\/blog\/10-social-security-myths-that-refuse-to-die10-social-security-myths-that-re\" target=\"_blank\" rel=\"noopener\" title>survey<\/a>.<\/p>\n<p>The Social Security Administration was created by former President Franklin D. Roosevelt in 1935 and has served seniors for around eight decades. However, despite its long history and widespread use, there are still misconceptions about the program.&nbsp;<\/p>\n<p>Here are five myths about social security debunked.&nbsp;<\/p>\n<h2 class=\"wp-block-heading\">Social Security will run out of money<\/h2>\n<p>As long as the U.S. workforce continues to pay payroll taxes to the SSA, the agency will not run out of money.&nbsp;<\/p>\n<p>It does, however, face challenges with its funding since the amount being doled out to seniors outpaced the amount of money coming in. For decades, the administration collected more money than it paid out and had a surplus of&nbsp;$2.9 trillion at the end of 2019. Now, the SSA is starting to pay out more than it takes in from taxes, in large part because the retirement population of the country is growing faster than the working population. Medical advancements also mean retirees are living longer than they have historically.&nbsp;<\/p>\n<p>Without funding changes, the surplus is expected to run dry by 2035. Still, it won&rsquo;t run completely dry as the administration will continue tax revenue and pay benefits. If that were the case, estimates show the agency would only have the funds to pay 79% of scheduled benefits.<\/p>\n<p>In order to avoid that scenario, Congress will need to make moves to increase Social Security&rsquo;s finances, which it did in 1983 after the agency nearly ran dry.&nbsp;<\/p>\n<h2 class=\"wp-block-heading\">Undocumented immigrants are draining Social Security benefits<\/h2>\n<p>While some people scapegoat financial problems the SSA may be facing on undocumented immigrants claiming <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/lori-and-chad-daybell-face-murder-charges-in-the-deaths-of-their-2-children\/\" title=\"Lori and Chad Daybell face murder charges in the deaths of their 2 children\">social security benefits<\/a>, it is entirely false. Those who reside in the U.S. unlawfully have no ability to claim Social Security, as they do not have a Social Security number issued to them.&nbsp;<\/p>\n<p>Naturalized American citizens or visa and green card holders receive a Social Security number when they become citizens or authorized to work and, therefore, can <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/social-security-update-third-round-of-direct-payments-worth-up-to-4555-arrives-wednesday\/\" title=\"New Social Security update: ,555 direct payments arriving Wednesday.\">begin receiving benefits<\/a> when their time comes. <a href=\"https:\/\/www.ssa.gov\/ssi\/spotlights\/spot-non-citizens.htm\" target=\"_blank\" rel=\"noopener\" title>Non-citizens<\/a> who live and work in the U.S. legally can <a href=\"https:\/\/www.aarp.org\/retirement\/social-security\/questions-answers\/non-citizens-ss-benefits\/\" target=\"_blank\" rel=\"noopener\" title>qualify for Social Security<\/a> under the same terms as native-born and naturalized Americans, but undocumented immigrants are not allowed nor able to claim benefits.<\/p>\n<p>One report even found undocumented immigrants boost the funds of Social Security. A 2010 <a href=\"https:\/\/www.ssa.gov\/oact\/NOTES\/pdf_notes\/note151.pdf\">report<\/a> from Social Security actuaries said <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/the-pressure-is-working-dont-cave-on-border-security-now\/\" title=\"Stay strong on border security despite the pressure\">undocumented immigrants made<\/a> a net contribution of around $12 billion to the program, and their earnings would likely continue to &ldquo;benefit the financial status&rdquo; of Social Security.<\/p>\n<h2 class=\"wp-block-heading\">Social Security income isn&rsquo;t subject to taxes<\/h2>\n<p>This was true until 1983, when the Social Security overhaul was passed by Congress. Former President Ronald Reagan signed a provision that <a href=\"https:\/\/www.aarp.org\/retirement\/social-security\/questions-answers\/how-is-ss-taxed\/\" target=\"_blank\" rel=\"noopener\" title>made a portion of Social Security benefits taxable<\/a>, depending on a person&rsquo;s income level.<\/p>\n<p>Now, beneficiaries must pay taxes on their income if their total modified adjusted gross income is above certain thresholds.&nbsp;<\/p>\n<p>Beneficiaries will need to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/white-house-brags-americans-can-pay-for-more-expensive-thanksgiving-with-government-handouts\/\" title=\"White House Brags Americans Can Pay for More Expensive Thanksgiving with Government Handouts\">pay federal income tax<\/a> on up to 50% of their benefits if their income for the year is $25,000 to $34,000 for an individual filer and $32,000 to $44,000 for a couple filing jointly, according to <a href=\"https:\/\/www.aarp.org\/retirement\/social-security\/info-2020\/10-myths-explained.html\" target=\"_blank\" rel=\"noopener\" title>AARP<\/a>. Above those thresholds, up to 85% of benefits are taxable, but exact amounts can vary depending on the amount of income they may have from other sources, such as a part-time job or other assistance programs.<\/p>\n<p>Around 40% of people who receive social security are required to pay income taxes on their benefits.<\/p>\n<h2 class=\"wp-block-heading\">Inflation outpaces Social Security benefits&nbsp;<\/h2>\n<p>Social Security payments are unlike other retirement income sources in that they are designed to keep pace with the rising cost of living.<\/p>\n<p>Every year, the SSA evaluates inflation data and decides whether to institute a benefit increase, called a cost-of-living adjustment. Beginning in 1975, COLAs ranged from as high as 14.3% in 1980 to as low as 0.0% in 2009 and 2010 during the 2008 recession.<\/p>\n<p>This year, Social Security benefits are set to increase by 3.2% to keep up with inflation.<\/p>\n<h2 class=\"wp-block-heading\">Social Security benefits start at age 65<\/h2>\n<p>The full retirement age is currently 66 years and 2 months. This is the age, determined by the SSA, when a worker is qualified to file and can claim 100% of the benefits calculated from their lifetime earnings history. Those born in 1955 reach the milestone this year (or in the first two months of next year). Over the next five years, the full retirement age will increase by two months at a time, settling at 67 years old for those born in 1960 and after.<\/p>\n<p>Sixty-five years old was the longtime standard retirement age set when the SSA began in 1935. As part of the 1983 congressional changes made to the administration, the age was increased to the current full retirement age. This change was phased in over time, with 2002 being the last time retirees could claim full benefits at age 65.<\/p>\n<p>People can still begin claiming social security benefits once they hit the age of 62, although that would decrease their maximum income and give them only the minimum amount of earnings.<\/p>\n<h2 class=\"wp-block-heading\">People should wait as long as possible to claim Social Security benefits<\/h2>\n<p>While people can begin claiming Social Security benefits at the age of 62, the longer they wait to begin claiming, the more money they will receive each month. Therefore, many retirees hold off on claiming benefits and choose to continue to work until they turn 70 years old because that is the longest they must wait to maximize their benefits.&nbsp;<\/p>\n<p>&#8203;&#8203;<a href=\"http:\/\/washingtonexaminer.com\/\" target=\"_blank\" rel=\"noopener\" title><strong><\/strong><\/a><\/p>\n<p>Holding out can be beneficial to some retirees, but there are certain factors that should be taken into account before continuing to work until 70 years old. Any looming personal health problems should be considered, as well as the average life expectancy in their family history.&nbsp;<\/p>\n<p>It is considered wise to speak with a financial adviser to find the best time to begin claiming Social Security benefits in order to maximize not only monthly income but also quality of life. Financial advisers can help people understand how things, such as capital gains and individual retirement account withdrawals, play into retirement income and tax rates for Social Security income.<\/p>\n<\/div>\n<p> <script data-cfasync=\"false\" src=\"http:\/\/www.washingtonexaminer.com\/cdn-cgi\/scripts\/5c5dd728\/cloudflare-static\/email-decode.min.js\"><\/script><script>!function(){var g=window;g.googletag=g.googletag||{},g.googletag.cmd=g.googletag.cmd||[],g.googletag.cmd.push(function(){g.googletag.pubads().setTargeting(\"has-featured-video\",\"true\")})}();<\/script><script>var _bp=_bp||[];_bp.push({\"div\":\"Brid_1731477\",\"obj\":{\"id\":\"27789\",\"width\":\"1280\",\"height\":\"720\",\"stickyDirection\":\"below\",\"video\":\"1731477\"}});<\/script><script defer src=\"https:\/\/services.brid.tv\/player\/build\/brid.min.js\"><\/script><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>**Social Security Stakes: Clarifying Misconceptions About Social Security Benefits**<\/p>\n<p>Social Security represents one of the most significant social welfare programs in the United States, disbursing approximately $93 billion monthly to nearly 68 million retirees, individuals with disabilities, and their families. The program enjoys broad support, with over 90% of U.S. adults across various political affiliations backing it, as indicated by a 2021 AARP survey. Established by President Franklin D. Roosevelt in 1935, Social Security has been assisting seniors for nearly eight decades. Despite its long-standing presence and popularity, several myths persist about the program. Here are five common misconceptions clarified.<\/p>\n<p>**Myth: Social Security Will Deplete Its Funds**<br \/>\nAs long as American workers continue to pay payroll taxes to the Social Security Administration (SSA), it will not run out of funds entirely. However, challenges exist regarding its financing since payouts to seniors have begun exceeding incoming revenue due to a growing retirement population and increased life expectancy from medical advancements. Although SSA had a surplus of $2.9 trillion at the end of 2019 after years of collecting more than it paid out, this surplus is projected to be exhausted by 2035 without changes in funding strategies. Even then, estimates suggest that if no adjustments are made by Congress\u2014similar to actions taken in 1983\u2014the agency would only be able to cover about 79% of scheduled benefits.<\/p>\n<p>**Myth: Undocumented Immigrants Are Burdening Social Security**<br \/>\nContrary to popular belief that undocumented immigrants drain Social Security resources, they cannot claim benefits because they lack a valid Social Security number issued by the SSA. Only naturalized citizens or those with work authorization can receive these numbers and subsequently qualify for benefits when eligible. In fact, studies indicate that undocumented immigrants contribute positively; a report from SSA actuaries noted they added approximately $12 billion net into the system.<\/p>\n<p>**Myth: Social Security Income Is Not Taxed**<br \/>\nThis was accurate until Congress passed an overhaul in 1983 under President Ronald Reagan&#8217;s administration which introduced taxation on certain portions of benefits based on income levels. Beneficiaries may owe federal income tax on up to half their benefits if their modified adjusted gross income falls between specific thresholds ($25,000-$34,000 for individuals; $32,000-$44,000 for couples). Above these limits could see up to 85% taxed depending on other income sources; around 40% of beneficiaries now face taxes on their payments.<\/p>\n<p>**Myth: Inflation Exceeds Growth in Social Security Benefits**<br \/>\nUnlike many retirement incomes that do not adjust for inflation automatically each year\u2014Social Security payments are designed specifically for this purpose through annual cost-of-living adjustments (COLAs). Since COLAs were introduced in1975\u2014with increases varying significantly over time\u2014benefits are set annually based on inflation data; currently slated for a rise of about 3.2%.<\/p>\n<p>**Myth: Full Benefits Start at Age 65**<br \/>\nThe current full retirement age is actually set at **66 years and two months**, gradually increasing every few years until reaching **67 years old** for those born after **1960** due primarily due changes enacted during congressional reforms in **1983**, which phased out age **65** as standard eligibility age last applicable around **2002**.<\/p>\n<p>While individuals can start claiming benefits at age **62**, delaying claims can result in higher monthly payouts\u2014a strategy many retirees consider beneficial enough that some choose working until age **70**, maximizing potential earnings while weighing personal health factors and family longevity history before making decisions regarding benefit claims.<\/p>\n<p>Consulting financial advisors is recommended so retirees can navigate how various elements like capital gains or IRA withdrawals impact overall retirement finances alongside tax implications related specifically towards social security income<\/p>\n","protected":false},"author":2910,"featured_media":2345126,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2024\/06\/iStock-1310131960.jpg.optimal.jpg","fifu_image_alt":"","footnotes":""},"categories":[538],"tags":[4848,33899,13364,33104,32076],"class_list":["post-2345125","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-washington-examiner","tag-benefits","tag-financial-literacy","tag-myths","tag-social-security","tag-washington-examiner"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2024\/06\/iStock-1310131960.jpg.optimal.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2345125","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/2910"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2345125"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2345125\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2345126"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2345125"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2345125"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2345125"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}