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Good news for retirees – Next $1,900 check tomorrow

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Social Security has announced a new monthly check for all retirees who were born between the 1st and the 10th. According to the Social Security payment schedule, this month there are still three Social Security payments scheduled to be mailed on the second, third, and fourth Wednesdays of the month. Retirees who claimed benefits after May 1997 and were born on the previously mentioned dates will get a new deposit into their accounts tomorrow. On average, eligible recipients will receive a monthly check of $1,900, but this amount could vary based on several factors, such as the age at which they decided to claim benefits, their working history, and Social Security taxes paid during their professional lives. 

Most seniors will be entitled to receive Social Security payments if they contributed to the system for at least ten years, which is the minimum number of years required to accumulate 40 credits. Social Security taxes are deducted from workers’ paychecks to generate these credits. In addition, Social Security does not just provide financial security for seniors. Some eligible spouses, children, and, in exceptional circumstances, the parents of deceased workers may also qualify for these monthly benefits.

Additional payment amounts are available for retirees tomorrow

If you qualify for retirement benefits or are looking forward to applying soon, you should know that the Social Security Administration (SSA) will calculate your monthly payment amount based on your full retirement age (FRA), which is currently set at 67. For instance, if you decided to claim benefits at age 67 and met your working history and Social Security contributions, you would likely receive up to $3,822 per month. However, some retirees choose to retire before reaching full retirement age, which will reduce their payments considerably, bringing their earnings at the end up to $2,710 per month. 

Lastly, there is a small group of retirees who decided to delay their benefits until 70 and have more chances to receive the maximum Social Security payment, but to earn the $4,873 check, they should also have made contributions based on their maximum taxable earnings. To be eligible for the maximum payment, it is always recommended to review your case with a financial advisor or Social Security expert, so you can choose the best strategy that suits your financial objectives and circumstances. 

Social Security payment dates have been confirmed for retirees this month

Based on the Social Security payment schedule for this year, millions of retirees will receive their monthly checks depending on the day they were born. Below you will find the upcoming payment dates confirmed for this month.

Retirement benefits Payment date Payment Methodology
Retirees July 3rd (Wednesday) These payments are scheduled for recipients who collected benefits before May 1997
Retirees (who collected benefits after 1997) 2nd Wednesday (July 10th)

3rd Wednesday (July 17th)

4th Wednesday (July 24th)

Day of birth: 1st–10th.

Day of birth: 11th–20th.

Day of birth: 21st–31st.

The 3 steps to creating a retirement budget 

To ensure a good retirement, retirees should create a retirement budget ahead of time, which considers all revenue, routine expenditures, and unexpected expenses, so they may make better use of their money while in retirement. Even if retirees already receive monthly benefits, adopting a monthly budget will allow them to use their money better. Below are the three steps everyone can follow to create a retirement budget: 

  1. Estimate your retirement income goal: According to a recent survey from Northwestern Mutual, most retirees believe they will need $1.46 million in the bank to retire comfortably. Nonetheless, this amount could vary depending on your personal and financial objectives. 
  2. Determine your living expenses: During retirement, expenses like housing, food, insurance, debt, child care, and recreation may remain constant or increase. Thus, reviewing current expenses and considering Medicare premiums is crucial, as seniors are expected to spend more on healthcare and medical expenses.
  3. Develop a spending strategy: Create a budget tracking system by estimating spending, adjusting for lifestyle changes, and considering different revenue streams. Use a budgeting application, spreadsheet, or pen to compare real income to predicted retirement spending. Adjust income as needed.

 



Read More: Good news for retirees – Next $1,900 check tomorrow

2024-07-09 13:00:23

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