You may start to see headlines pop up, such as this article, about millions of Americans being affected by Social Security cuts that are looming at the end of April. It may stroke fear in you, as a current Social Security recipient. No need to worry.
Let me explain.
The cuts that are coming are closing an unintended loophole within the Social Security Act that allowed for a method of obtaining benefits through what was called ‘file and suspend’. Essentially, file and suspend permitted someone else to get spousal benefits while the primary worker delayed his/her own benefit. Another explanation is here.
File-and-suspend allows people who are eligible for both the spousal and worker’s benefits from Social Security, starting at age 62, to file for both, but defer taking one of those benefits until a later date. The other benefit for which they were eligible would still go into effect. Under this system, spouses and children were entitled to collect from Social Security even while their loved one’s benefits were suspended.
Under the new law that closed the loop hole, no one may receive benefits based on anyone else’s work history while their own benefits are suspended. In addition, no one may “unsuspend” their suspended Social Security benefits to get a lump sum payment. By eliminating the loop hole, it will stop a purposeful benefit-boosting tactic.
So, if you are s social security recipient, a senior citizen on retirement benefits, how does this effect you? IT DOESN’T.
If you currently receive benefits, how does this effect you? IT DOESN’T.
If I helped you win social security disability or social security supplemental income benefits, how does this effect you? IT DOESN’T.
If you have not yet filed, and want to file for benefits, then suspend them, to allow your spouse to claim benefits under you, how does this effect you. YOU BETTER DO IT BEFORE APRIL 30.
It is really that simple.
If you, a family member, a neighbor, or a friend have applied for Social Security Disability benefits and have been denied, call Mooney & Associates right away. We will represent you in front of a Social Security Judge to get you benefits. Remember, you only have 60 days from the date of the denial letter to submit an appeal. If you miss that window, you must start the process all over again. We can file that appeal for you. Simply call 717-200-HURT or 1-877-632-4656 for a FREE CONSULTATION.