Elon Musk and Senator Mike Lee just shared a thread showing US Government is using our Social Security to fund anything they need extra money for
— Wall Street Apes (@WallStreetApes) December 3, 2024
Senator Tommy Tuberville CONFIRMS they spend our Social Security, “It’s all a scam — what happens, it comes up here, we spend it”… pic.twitter.com/pORxPRxr5g
This coming Sunday, if the congress (House and Senate) and the White House don't come to an agreement on a spending bill, the government will shut down.
What does that mean for those of us geezers who are collecting Social Security? Nothing.
According to NBC News (via AOL):
If the federal government shuts down on Sunday, numerous publicly funded agencies will stop work and their employees won't be paid, but Social Security checks will still go out.
Social Security is considered a mandatory program and it isn't funded by the shorter-term appropriations bills passed by Congress and signed by the president. That means its operations and funding don't stop when the government shuts down.
That's important for a large portion of Americans, as about 67 million people are currently receiving monthly Social Security benefits, according to the Social Security Administration. Those benefits primarily go to retirees, but also to people with disabilities as well as dependents of deceased beneficiaries.
Medicare and Veterans Affairs benefits also continue being distributed during a shutdown.
To read more, go here.
Social Security benefit payments may be delayed.
It isn't known if this is a scare tactic or not, but it is a good idea to prepare for the worst case scenario.
According to NBC News:
With the odds of a U.S. debt default increasing, Social Security advocates warn beneficiaries they should be prepared in case their payments are interrupted.
Negotiations around whether the nation's ability to borrow money should be expanded have been ongoing, but Congress and the White House have yet to reach an agreement on the path forward.
The impasse has placed the U.S. in a precarious financial position, and leaves some of the most vulnerable Americans at risk.
Dan Adcock, director of government relations and policy for the National Committee to Preserve Social Security and Medicare, said there is a "good chance" that in the event of a default, millions of Americans' benefits would be disrupted.
"Seniors should be prepared if they're financially able," Adcock said, adding they should consider putting off discretionary purchases "so they have enough to tide them over."
Not a foregone conclusion
Analysts suggest it isn't certain that the government will miss payments to Social Security recipients in the event of a default. The matter would likely depend on how much cash is on hand if or when the debt ceiling is breached.
The staggered schedule of Social Security payments, which relies on an individual’s birthdate to determine which part of the month they receive them, means not all beneficiaries would be equally affected in a missed or partial-payment scenario.
To read the full story, go here.
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| Above, at Monument Valley last October. I am better off during these uncertain times than I was 16 years ago during the Mortgage Meltdown. |
The bank collapse, inflation and financial uncertainty in recent weeks (actually in recent years, at least since Biden started occupying the White House) is reminding me more and more of the mortgage meltdown of 2008.
It affected me in a couple of ways. First, I was working for David Morse & Associates, a third-party insurance claims administrator, for a number of non-standard insurers. We handled claims for several of them.
Trouble started in late 2007. We were getting plenty of claims work, but like a Chinese water torture, co-workers were getting laid off over several weeks. Finally, it was my turn. It was explained to me that the company got a percentage of the premium monies the insurers received as payment for administering their claims. But as the mortgage meltdown started, fewer polices were being underwritten by those insurers. Therefore, our company's income became less and less. So they had to lay off workers.
Next, I had a 401k retirement account. When the meltdown got worse, I started losing money in my account.
While I was working for the third-party administrator, my supervisor wondered why I would do my periodic shoots to maintain my security gun permit. I told him that it was my hedge in case of job loss in insurance and one gets better pay in security if they have a gun permit. When I got laid off, he then fully understood.
After the lay-off, I worked in security mainly for the medical benefits. I also worked for an independent adjuster, but that job had no benefits. (This was just prior to ObamaCare, which really screwed things up.)
I worked the adjusting job during the day and wrote my reports while at my security posts in the evening or during the graveyard shifts.
In 2015, I decided to retire at age 62. I was financially secure with the work I was doing and from farm income I was receiving (that I inherited in 2010 after my mother passed away). Social Security benefits kicked in during the spring of 2016.
Now that I am retired and own my own home, I don't have to worry about getting laid off. The house has no mortgage and I am getting my Social Security payments, which covers my monthly living expenses just fine since I don't have rent or house payments to make. I am in full control of my investments, so I have no worries there (I recently made some adjustments to protect them).
On the current situation, Forbes wrote:
Layoffs, return-to-office mandates, hiring freezes and reduced compensation will be results of Silicon Valley Bank’s collapse,
It looks like the country might be in or a wild ride...again!
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| Above, the New Mexico State Capitol, the Roundhouse. Photo by Armand Vaquer. |
There are competing bills in the New Mexico state legislature that would do away with income taxes on Social Security in the current session.
GoBankingRates has an article on these bills.
They start it with:
The battle over Social Security income taxes is playing out in the Land of Enchantment, as lawmakers in New Mexico consider doing away with the state’s taxes on Social Security benefits.
In New Mexico, personal income taxes apply to Social Security benefits on all but lower-income residents, U.S. News & World Report noted. Individuals earning up to $25,000 and joint tax filers earning up to $32,000 get a full exemption.
But legislators in the state have introduced competing bills to end the tax on Social Security benefits. Gov. Lujan Grisham last week threw her weight behind a bill from state Sen. Michael Padilla to enact a full and immediate tax exemption for Social Security income.
A separate bill from Sens. Bill Tallman and Martin Hickey would end taxes on Social Security income for everyone except higher-income households. A third bill, backed by gubernatorial candidate Rep. Rebecca Dow, would phase out state taxes on Social Security income gradually between 2022 and 2026.
New Mexico is one of 13 states that have some kind of tax on Social Security benefits, KRQE reported, citing comments from Dow. Critics say the tax hurts the state’s ability to attract more retirees, which is one reason there is bipartisan support to get rid of it.
It appears likely that one of these bills will pass and be signed by the governor.
What would really help seniors is reducing or eliminating property taxes.
To read more, go here.
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| Above, the Rehoboth McKinley Christian Hospital in Gallup, New Mexico. Photo by Armand Vaquer. |
The Biden Administration is going to sock it to seniors by raising Medicare premiums and deductibles. These hikes will virtually eat up the raise in Social Security benefits that's scheduled for next year.
The Epoch Times reported:
President Joe Biden’s administration on Friday announced it is raising Medicare premiums, a move it blamed in part on the cost of drugs.
The Medicare Part B standard monthly premium will rise by nearly $22 to $170.10 next year, the Centers for Medicare & Medicaid Services said.
“The increase in the Part B premium for 2022 is continued evidence that rising drug costs threaten the affordability and sustainability of the Medicare program,” Chiquita Brooks-LaSure, administrator of the agency, said in a statement.
In addition to the monthly premium, the annual deductible will rise from $203 to $233. Also, Medicare Part A inpatient deductibles will jump $72 to $1,556 next year, and Medicare part A daily coinsurance and skilled nursing facility coinsurance will both increase at least $9.
Officials pointed out that many Americans covered by Medicare will see a net increase in Social Security benefits. The Social Security Administration announced last month that recipients will get a 5.9 percent increase in benefits.
However, the 14.5 percent jump in Medicare premiums—the highest since 2016—will eat up the entire adjustment for Social Security recipients with the lowest benefits, according to Senior Citizens League, a nonpartisan seniors group.
“Social Security recipients with higher benefits should be able to cover the $21.60 per month increase, but they may not wind up with as much left over as they were counting on,” Mary Johnson, a policy analyst for the group, said in a statement.
Remember, elections have consequences, especially stolen ones.
#LetsGoBrandon
To read the full story, go here.
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| Above, American retirees can live in some foreign countries comfortably with $150,000 in savings. Unfortunately, Japan isn't one of them. Photo by Armand Vaquer. |
Many baby boomers are hitting (or already in) retirement age. With inflation running high these days in the U.S., thanks to our irresponsible federal government, many are wondering if there's any alternatives to retiring in the U.S.
Actually there is.
MoneyWise has a list of countries where $150,000 in savings will provide a comfortable retirement. Some of them are quite surprising.
They begin their list with:
In 2020, American retirees are collecting average monthly Social Security payments of $1,503, or a mere $18,036 for the year.
That's hardly enough to afford a decent life, particularly when seniors are facing out-of-pocket health care costs of more than $13,000 per year.
But what if you didn’t retire in the U.S.? Health care, housing and daily expenses cost significantly less in other countries.
We count down our picks for the cheapest — and safest — countries for retiring outside the U.S., places where even $150,000 or less in retirement savings would be enough to live comfortably. Our recommendations reflect local daily living costs, changes to visa programs and political developments.
To see what countries are great for American retirees, go here.
There's good news for those who are receiving Social Security retirement benefits.
There will be a cost-of-living benefit increase starting in January 2021.
From the Social Security Administration:
Social Security and Supplemental Security Income (SSI) benefits for approximately 70 million Americans will increase 1.3 percent in 2021.
For more details, go to the Social Security Administration website here.
Social Security beneficiaries won’t have to file tax returns in order to receive the coronavirus relief payments, the Trump administration announced Wednesday in a quick reversal of an earlier position.
“Social Security recipients who are not typically required to file a tax return need to take no action, and will receive their payment directly to their bank account,” Treasury Secretary Steven Mnuchin said in a news release.
Millions of people receiving Social Security retirement and disability benefits aren’t required to file federal returns because their incomes are so low they don’t owe any taxes.To read more, go here.
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| Above, yours truly with The Beast. Welcome to the ranks of the retired! |
The number of Social Security beneficiaries hit a record 61,859,250 in November, according to data released by the Social Security Administration.
At the same time, according to the Bureau of Labor Statistics, with unemployment at the lowest rate since 2000 (4.1 percent), there were 126,827,000 full-time workers in the United States (including government workers). Yet that equaled only 2.05 full-time workers for each person receiving Social Security benefits.
Even when all 153,918,000 people who had jobs in November are considered (counting both full- and part-time workers), the ratio of workers to Social Security beneficiaries was about 2.49 to 1.
The record 61,859,250 Social Security beneficiaries in November, included 45,439,781 retired workers and their dependents; 5,992,862 survivors of deceased workers; and 10,426,607 disabled workers and their dependents.
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| Above, yours truly at Yosemite National Park. |
I retired early at 62 and began collecting. Several things told me the time was right.
1. Age discrimination in the field of work I was in following the Great Recession. Stuck with lower-paying jobs.
2. My parents died in their 70s. I may live longer than them, but you never know.
3. Have good investments, so I don't have to rely solely on S.S.
4. In great health and just tired of working.
5. Wanted to travel.
No regrets!Each person's situation is different. Some people may be in good health now, but who knows if "the big one" hits and there goes all the money they put into Social Security (if they're not married). It is a crap shoot where people are betting that they will remain healthy for years beyond their full retirement age. They may, or they may not.
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| Above, a scenic view at Yellowstone National Park. Photo by Armand Vaquer. |
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| Above, yours truly at Osaka Castle last month. |
President Obama on Tuesday said he cannot guarantee that retirees will receive their Social Security checks August 3 if Democrats and Republicans in Washington do not reach an agreement on reducing the deficit in the coming weeks.
"I cannot guarantee that those checks go out on August 3rd if we haven't resolved this issue. Because there may simply not be the money in the coffers to do it," Mr. Obama said in an interview with CBS Evening News anchor Scott Pelley, according to excerpts released by CBS News.
RUSH: So we will only go into default if Obama makes us default. I mean he can stop this, right?
SENATOR RUBIO: Sure. He can stop it right now by basically saying, "You know what, we need to do something to grow our economy. Let's pass tax reform. Let's pass regulatory reform." He can stop this by also starting to implement some of the spending measures we think are necessary. He can also stop it by basically prioritizing spending on certain things if it comes to that. But let me tell you one thing, Rush, that no one said yet or maybe they have, the fact that payments on Social Security and Medicare may stop is a stinging indictment and a wake-up call. What Americans should realize, "Hold on a second, my Social Security check and my Medicare benefits are borrowed? The money that you're using to pay for my Social Security are borrowed? I thought I paid into a trust fund. I thought I worked my whole life to pay into some system and now you're paying my money back and you're claiming that the money is being borrowed?" That's what they're basically conceding when they're saying this.
