The Social Security Administration (SSA) has announced that pensioners and disabled individuals will get a new payment this coming Wednesday, March 20th. On average, retired workers will receive a monthly check of $1,900, while SSDI beneficiaries will receive $1,537. However, each beneficiary’s circumstances are unique, allowing some of them to get maximum monthly payments of up to $4,873 and $3,822 for retired workers and disabled persons, respectively.
Arguably, the most significant program for retired workers in the US is Social Security. In their golden years, many seniors would find it difficult to pay their expenditures without it. Approximately 96% of working Americans are protected by survivors’ insurance, according to SSA statistics. Social Security does pay payments to the wives, children, and, in exceptional circumstances, parents of deceased workers, even though its main purpose is to safeguard retired people financially.
Social Security protects millions of Americans
In addition to the previous figure, the Social Security Administration notes that 90% of American workers are protected in the event of a long-term disability. It is comforting to know that Social Security provides long-term disability insurance for about 70% of private sector workers. The SSA’s noteworthy statistic is that women make up 55% of beneficiaries.
Women’s Social Security income is especially important because they typically outlive men by five years and are typically the ones taking care of the family members who are ill or raising the children, which means that their lifetime earnings are typically lower than those of males. For women to have a sound financial foundation when they retire, Social Security income may be essential.
Confirmed Social Security payment for this week
The Social Security Administration (SSA) releases each year a Social Security payment schedule so all beneficiaries can keep up to date with the dates on which they will receive their benefits. Here you can find the verified payment date for this week and the last payment date for March. If you want to get detailed information, please check the Social Security Benefit Payments 2024.
| Month | Birth dates (11th to 20th) | Birth dates (21st to 31st) |
| March 2024 | March 20th | March 27th |
Keep in mind that these payments will only be sent to retired workers who claimed Social Security benefits after May 1997 and to disabled individuals who meet SSA’s disability requirements.
3 ways to minimize taxes on retirement income
One major factor affecting the amount of money you have to spend in retirement is taxes. Throughout your working years, you might have employed particular tactics to control or postpone paying taxes. When thinking about taxes in retirement, consider the following strategies:
Delay Social Security benefits
Social Security payments may be taxed depending on income. Individuals with a combined income of more than $25,000 and married couples with a combined income of more than $32,000 will be required to pay up to 85% of their benefits. To avoid taxes, consider using alternative sources of income during early retirement and filing later. The pension amount grows by 8% per year until age 70. Delaying Social Security claims until age 70 enables seniors to use pre-tax accounts at lower tax rates.
Plan for required minimum distributions
Once you reach the age of 73, you must begin making regular monthly withdrawals from your IRA and 401(k). Failure to do so may result in penalties and an increased tax burden. However, David Brillant, a tax expert at Brillant Law Firm, believes that proper planning can dramatically minimize taxes by keeping withdrawals in lower tax categories.
Create a Trust
An irrevocable trust transfers assets from the trustee’s control to the beneficiaries, removing them from the taxable estate. Assets such as stocks, cash, or life insurance policies can be placed in a trust, shielding them from estate taxes and providing income tax benefits. However, because of its intricacy, it is critical to collaborate with a professional to establish confidence.