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Old 09-08-2020, 04:30 PM
 
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Sort of click bait, but this article/video is a bit informative in at least trying to explain how SS benefits are calculated. CNBC also makes it clear that SS was never nor can it be sole income in retirement. Something far too many people believe and it comes back to bite them in behind later on.

https://www.cnbc.com/2020/09/08/soci...i-receive.html
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Old 09-08-2020, 04:53 PM
 
Location: East of Seattle since 1992, originally from SF Bay Area
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The trick is to make at least $100k for your last 10-15 years, to keep the 30 year average up, then when SS pays you $3,000/month move to a much less expensive area. Better yet, have a spouse making good money and between you have $5-6k month SS, added to your pensions and other investments. My mother-in-law never made much money doing secretarial work then retail when older, and her only income was SS at $700/month.
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Old 09-08-2020, 05:03 PM
 
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Quote:
Originally Posted by Hemlock140 View Post
The trick is to make at least $100k for your last 10-15 years, to keep the 30 year average up, then when SS pays you $3,000/month move to a much less expensive area. Better yet, have a spouse making good money and between you have $5-6k month SS, added to your pensions and other investments. My mother-in-law never made much money doing secretarial work then retail when older, and her only income was SS at $700/month.
Ironically SS was largely envisioned as an anti-poverty tool for women and minor children; but it only works out that way for some females.

Women who marry well and thus have a spouse with a nice fat earnings record are set. This even if they themselves never worked a day in their lives, and or have a sparse record filled with pretty much low wage jobs.

Know of a few situations where professional nurses barely worked a few years after being licensed before marrying doctors, lawyers, dentists, etc... Yet they get far more SS via spousal or survivor SS benefits than women who worked their entire qualifying 30 year average.

Back to topic of thread anyone who is only pulling $50k or less as average earnings for bulk of 30 year qualifying period likely is going to be in trouble in "retirement". You don't get much on that kind of money and few know that what you do get Medicare premiums are taken out off the top.

Know of people with low wage SS work record, and they have no choice but to work basically until they cannot, even after claiming SS. Babysitting, pet sitting, house cleaning... any sort of thing they can do off the books is usually first choice.
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Old 09-08-2020, 07:36 PM
 
Location: Cleverly concealed
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Yeah, it's a depressing thought. A lot of people never even reach $50,000 in salary, much less "average" it over a 35-year period. If I don't somehow double my salary soon, I'll be one of them.
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Old 09-08-2020, 08:46 PM
 
Location: Sacramento County
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Quote:
Originally Posted by RadioSilence View Post
Yeah, it's a depressing thought. A lot of people never even reach $50,000 in salary, much less "average" it over a 35-year period. If I don't somehow double my salary soon, I'll be one of them.
And this economy is designed to discard those people. We as a country desperately need to vote in politicians who will deliver us the Basic Income.
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Old 09-08-2020, 08:53 PM
 
Location: Bangkok
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Originally Posted by BugsyPal View Post
CNBC also makes it clear that SS was never nor can it be sole income in retirement.
It depends I think.

I wouldn't recommend anyone plan on SS as sole source of income for retirement but a retired couple with decent earnings history and a paid off house could pull it off I think, especially if they have simple tastes.
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Old 09-08-2020, 09:06 PM
 
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Originally Posted by lieqiang View Post
It depends I think.

I wouldn't recommend anyone plan on SS as sole source of income for retirement but a retired couple with decent earnings history and a paid off house could pull it off I think, especially if they have simple tastes.
Key word there is "couple"; and even then it might be a stretch.

It would require both husband and wife (or whatever these days) both getting SS checks, not just a spouse receiving a portion of benefits via "spousal support" payments.

Even then it would still be living close to window's edge financially.

Most calculations put $50k per year earnings at $1,449 per month in SS. That is about one months rent here in NYC area. If a couple both received that amount out right that's $2998, that's still going to mean living on a very tight budget even with a paid off home.

https://www.aarp.org/retirement/soci...C650%20at%2070.
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Old 09-09-2020, 07:05 AM
 
98,792 posts, read 98,009,954 times
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Quote:
Originally Posted by RadioSilence View Post
Yeah, it's a depressing thought. A lot of people never even reach $50,000 in salary, much less "average" it over a 35-year period. If I don't somehow double my salary soon, I'll be one of them.
you don't actually average 50k for 35 years . older wages are inflation adjusted in the calculation. some of your earlier wages may actually work out higher than 50k after inflation adjusting.

couples have an advantage . my wife has a terrible earnings record since she worked very little at lower wages but between us and her spousal adder we get 42k a year . she filed at 62 and i filed at 65 .
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Old 09-09-2020, 09:21 AM
 
Location: Bangkok
11,980 posts, read 6,230,109 times
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Quote:
Originally Posted by BugsyPal View Post
Key word there is "couple"; and even then it might be a stretch.

It would require both husband and wife (or whatever these days) both getting SS checks, not just a spouse receiving a portion of benefits via "spousal support" payments.

Even then it would still be living close to window's edge financially.

Most calculations put $50k per year earnings at $1,449 per month in SS. That is about one months rent here in NYC area. If a couple both received that amount out right that's $2998, that's still going to mean living on a very tight budget even with a paid off home.
I didn't say a couple renting in NYC who made 50k. I said a couple who owned their home, both had good earnings history, and didn't have expensive tastes. They might be bringing home over $5k/month SS alone.

Mentioning rent in NYC for someone with 50k income doesn't disprove this, nor does it make it a stretch or on the edge.
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Old 09-09-2020, 10:57 AM
 
Location: plano
7,880 posts, read 10,566,969 times
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Quote:
Originally Posted by JobHunter2018 View Post
And this economy is designed to discard those people. We as a country desperately need to vote in politicians who will deliver us the Basic Income.
Politicians do not provide a basic income, taxes do. Taxes come from a business providing jobs and profits to be taxes. So ask tax payers to provide it to you not the silly politicians who know how to do little right.
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