FAQs About Social Security
Joel Johnson, CFP® answers questions about Social Security on Better Money.
Working while collecting Social Security
Determine if your Social Security payments are taxable. If your income is over a certain amount, (counting a part of your Social Security) it will be taxed. Some people won’t pay any taxes on their S.S., others will find that 50% is added to their income for taxation, and for some people, 85% is taxed. It all depends on the total income – your working income and your S.S. payments.
Best process to figure out what age to draw Social Security
You will often hear advice to start collecting your Social Security benefit at the age of 70, but that is not the right thing for everyone. If S.S. is the only retirement income you’ll have, you should wait as long as possible to begin collecting. If S.S. is not your only retirement income, view it as just another account, and determine the best combination and sequence to take money from all accounts.
The best way to figure out when you should begin collecting is by talking to a financial advisor.
How is Social Security calculated?
Your Social Security benefit is based on your top 35 working years. If you want to maximize your payout, it is necessary to work at least 35 years of your life, as non-working years are calculated with a 0.
People who stop working before full retirement age and have not worked for 35 years will receive a reduced benefit.
Information presented here is considered current as of the created date. Over time, some information presented may become stale. We recommend you consult with your Financial Professional before making any changes based on information contained here.
Johnson Brunetti is a marketing name for the businesses of JB Capital and JN Financial.
Investment Advisory Services offered through JB Capital, LLC. Insurance Products offered through JN Financial, LLC.
The guarantees provided by any type of insurance contract are based on the claims-paying ability of the insurance company.
Related Resources
-
4-Point Retirement Income Planning Checklist
Income is everything in retirement, and that realization can feel overwhelming. Even if you feel prepared, it’s still important to ensure you’re getting the most out of your money. By taking small… -
Who Should Consider a Roth Conversion?
Converting pre-tax funds into a Roth account can potentially reduce your tax burden in retirement. Roth IRAs offer unique benefits that differ from traditional tax-deferred accounts. While you … -
Healthcare in Retirement: Frequently Asked Questions
As you get closer to your retirement years, healthcare becomes a more pressing financial concern. How will you pay for coverage no longer provided by your employer? Which health insurance plan bes… -
Podcast Episode 421: Can You Really Pay Less Taxes on Social Security?
Prefer to watch? Click here to watch and listen on YouTube. Social Security is one of the most important sources of income for many retirees. But it is also one of the most misunderstood around… -
Johnson Brunetti and Journey Home Deliver a Fresh Start
Johnson Brunetti recently partnered with Journey Home to help individuals and families transitioning out of homelessness feel the comfort and safety of home. Team JB rolled up their … -
What Is the Best Age to Claim Social Security?
It can be hard not to play the comparison game when making major decisions in retirement. One of which is when to collect Social Security benefits. Your friend may have claimed early at age 62, bu… -
3 Habits of Successful Retirees
We’re creatures of habit, and our financial behaviors are no exception. Specifically in retirement, your financial decisions can either hold you back or help you achieve long-term success. So, whi… -
Answers to Your Most Common Retirement Questions
Every decision you make in retirement carries weight. The choices you make in the years leading up to and just after you retire can shape the rest of your life. The real question is: will you outl… -
Saving Lives: Johnson Brunetti Blood Drive Surpasses Goal
Thanks to the generosity and kindness of our community, our recent blood drive was a tremendous success! On August 15, Johnson Brunetti employees, clients, and members of the community came tog… -
Paying Off Debt Before Retirement
In addition to maximizing your savings and putting together a comprehensive plan, an important task to check off your pre-retirement checklist is minimizing debt. Doing so both quickly and efficie…
-
Laura H.Laura H. is a client of Johnson Brunetti and received no compensation for their statement.
“Your corporate values and mission have stayed constant which we’d say is the primary reason we are so satisfied. We believe that mission should never change.”
Testimonials received in response to Johnson Brunetti survey conducted in 2024. Please click here for a description of the survey and the overall results.
-
John L.John L. is a client of Johnson Brunetti and received no compensation for his statement.
“We are extremely please with J&B. Referring back to our one word, Family, we trust your firm, advisors, and services as we would a member of the Family. Thank you for everything!”
Testimonials received in response to Johnson Brunetti survey conducted in 2024. Please click here for a description of the survey and the overall results.
-
Joe D.Joe D. is a client of Johnson Brunetti and received no compensation for his statement.
“Your model is working well, continue to keep your focus on your clients. The podcasts are an effective way of communicating information and real life stories. Your business is supporting your clients’ many different real life stories.”
Testimonials received in response to Johnson Brunetti survey conducted in 2024. Please click here for a description of the survey and the overall results.
-
Jackie L.Jackie L. is a client of Johnson Brunetti and received no compensation for her statement.
“I love how everyone in the company makes us feel. Like we are one big happy family. I wouldn’t change anything! “
Testimonials received in response to Johnson Brunetti survey conducted in 2024. Please click here for a description of the survey and the overall results.
-
Christine Q.Christine Q. is a client of Johnson Brunetti and received no compensation for her statement.
“Your services are exemplary and greatly appreciated by my husband and myself to live out our retirement years feeling safe and secure. Thank you!”
Testimonials received in response to Johnson Brunetti survey conducted in 2024. Please click here for a description of the survey and the overall results.
-
Barbara S.Barbara S. is a client of Johnson Brunetti and received no compensation for her statement.
“We are very happy with Johnson Brunetti. It has really taken a load off our shoulders. Thank you.”
Testimonials received in response to Johnson Brunetti survey conducted in 2024. Please click here for a description of the survey and the overall results.
