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How does social security retirement get its funding?
Legal businesses who employ individuals for work in exchange for money in the USA have a tax ID number that is unique and attached to all finances which is on file by the Internal Revenue Service (IRS) and the Federal Treasury Department (also known as FMS, Financial Management Services). To be a legal and legitimate employee, an individual employee must have a Social Security Number that is unique and attached to their personal full name, date of birth, city and state of birth and mother's maiden name and is kept on a Master Beneficiary Number file through their lifetime for earnings, taxes, identification, and other references. From each pay check earned for services, work, compensation or tips that an individual receives from their employer it includes a taxation from their gross earning that is set aside into an account for Social Security and Medicare. It is strictly money that comes from the EMPLOYEE only. The taxed funds do not include money from any other source: not the employer, the county, or state. It is from the worker's earned income only. It is not the same as Workers Compensation Fund. A person may have one employer his entire working career or he may have several, dozens, hundreds of different employers until he retires or becomes disabled and unable to do any gainful work. The uniquely identifiable Social Security Number assigned to you, the employee, follows your earning history and the special taxable amounts set aside into the Social Security and Medicare funds are always accruing and kept up to date. Therefore, when you retire from your profession, trade, skilled labor, etc., you notify Social Security Administration and begin to receive back all the moneys you paid into that fund which the Federal government taxed out of your paychecks in monthly benefit checks. So you receive a monthly check, a pension, regularly, from money which YOU EARNED AND SAVED for retirement or should a serious disability arise that forces you to stop working and begin receiving those funds. The funding in Social Security Administration to beneficiaries comes from THEIR paid work. It is not generated by the government itself nor public taxes: the social security administration check I received this month is actually money I saved while I was younger and able to work at my job. This is not to be confused with Social Security Insurance, known as 'SSI'. Social Security INSURANCE recipients receive a monthly stipend that is funded by state and county public taxes. Therefore, a small child can be a recipient of SSI, or a young blind person, or anyone who is ultimately unable to fend for themselves financially and would otherwise be unfed, without a home or the ability to pay for medication and living expenses necessary for survival. Due to our society's economic structure, this social insurance is funded by public taxes and is necessary for the health, safety and welfare of the general public. Without it, those who are unable to have adequate jobs and medical benefits for illness, medicine, hospitalization, childbirth, etc. would be at a total disadvantage, mainly through no fault of their own for whatever reason exists, to survive and would basically resort to desperate crimes to be able to eat, have shelter and live with the rest of the society. However, the beneficiaries of Social Security Administration Retirement are people who are receiving money they earned themselves and are classified different ways. Some are early retirement people, who became disabled and paid enough into their funds to collect it sooner; some are veterans who are retirement age or were injured while serving in the military forces; some are retired that worked for the railroad industry their whole working career, which is a major contributor and factor in our country's economic success. Others are spouses who did not work outside of the home but contributed by raising children and making sure they were educated and fed in a safe home so they could go on and become independent, self sufficient members in society and therefore are entitled to receive a retirement pension of their own from the husband or wife's working fund, because the Federal government and society recognizes that to be the same as being employed full time, even more so. We hope you have a better understanding and answer about how or where the funds come from regarding Social Security Administration's Retirement. It is a good question that many people think about often but is often overlooked when talked about or read in books and newspapers.
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speaking from experience, you can be garnished by multiple people at the same time, but they can only take up to 25% of your earnings after taxes, but before insurance, di…sability, etc. So if you have 3 creditors with garnishment judgments against you, they would then divide the 25% equally between the 3. They also have to renew the garnishment summons every 70 days, but they can garnish you with no reprieve until the balance they are seeking is paid in full. hope this helps! From SSA website "Sec. 207. [42 U.S.C. 407] (a) The right of any person to any future payment under this title shall not be transferable or assignable, at law or in equity, and none of the moneys paid or payable or rights existing under this title shall be subject to execution, levy, attachment, garnishment, or other legal process, or to the operation of any bankruptcy or insolvency law." The only exceptions allowed to date are for Child Support payments. So, no, SS benefits are NOT subject to garnishment in ANY State of the Union. Furthermore, SS benefits are NOT subject to attachment via any court proceeding. The U.S. Supreme Court has held that Social Security funds deposited into a bank account "retained the quality of moneys' within the purview of section 407[.]" Philpott v. Essex County Welfare Bd., 409 U.S. 413, 93 S.Ct. 590, 34 L.Ed.2d 608 (1973). Courts have also held that the funds remain exempt from legal process even if they are commingled in a bank account with other funds, so long as they are reasonably traceable to Social Security.NCNB Fin. Servs. V. Shumate, 829 F.Supp. 178 (W.D. Va. 1993), affd. 45 F.3d 427, cert. Denied 115 S.Ct. 2616.
we do from working.
Social Security is funded by a wage tax. The employee pays 6.2% of all wages up to $102,000 (this is the 2008 maximim, it increases every year). The employer pays an equal amo…unt for a total contribution of 12.4%
Social Security pays retirement, disability, and survivor benefits.
It helps pay for the people that are retired now....soon people will be paying for us when we are seniors but now we pay for the senior citizens now
The answer depends on your individual circumstances. If you are retired and Social Security benefits are your only source of income, you may file, but generally will not be …taxed. If you also receive income from sources other than Social Security, your benefits will be taxed if your total taxable income exceeds a certain threshold. The formula is very simple. Your adjusted gross income (AGI), meaning income from all taxable sources, will fall into one of the following categories. Depending on your personal situation, you could be taxed on 0% of your Social Security benefits, on 50% of your benefits, or on 85% of your benefits. For a single taxpayer the base amount (cap) is $25,000.If your total AGI is $25-34,000, you will pay tax on 50% of your Social Security benefitsIf your total AGI is above $34,000, you will pay tax on 85% of your benefits For married couples filing jointly, the base amount is $32,000If your total AGI is $32-$44,000, you will pay tax on 50% of your Social Security benefitsIf your total AGI is above $44,000, you will pay tax on 85% of your benefits
taxes on employers and employees.
Social Security benefits are funded by each individual. Taxes are taken out of their salary and paid out after they reach their retirement years. The money was supposed to be …set aside and receive interest for the individual who then supposedly gets it back when they retire in the form of social security benefits.
Yes if you get a pension.
This would happen if you are your NORMAL RETIREMENT AGE (NRA) or FULL RETIREMENT AGE (FRA). You can go to the SSA.gov website SOCIAL SECURITY BENEFITS ONLINE and use the searc…h box for What are the benefit amounts a spouse may be entitled to receive? A spouse receives one-half of the retired worker's full benefit unless the spouse begins collecting benefits before full retirement age. In that case, the amount of the spouse's benefit is reduced by a percentage based on the number of months before he/she reaches full retirement age. For example, based on the full retirement age of 66, if a spouse begins collecting benefits: * At 65, the benefit amount would be about 46 percent of the retired worker's full benefit; * At age 64, it would be about 42 percent; * At age 63, 37.5 percent; and * At age 62, 35 percent. However, if a spouse is taking care of a child who is either under age 16 or disabled and receiving Social Security benefits, a spouse gets full (one-half) benefits, regardless of age. If you are eligible for both your own retirement benefit and for benefits as a spouse, we always pay your own benefit first. If your benefit as a spouse is higher than your retirement benefit, you'll receive a combination of benefits equaling the higher spouse's benefit.
Collection agencies can not freeze anything. Only courts can freeze bank accounts.
Social Security is funded through salary deductions.
For most as they pay into it over the life of their career with few exceptions.
SSDI or social security disability insurance is a paid into program. People receiving it must have worked 20 of the last 40 quarters (5 consecutive years) and are paid money e…ach month from what they put in as taxes. SSI or Supplimental Security Income is paid for by federal taxes.
Your question is confusing. Are you asking about receiving monthly Social Security checks? Or are you asking about Social Security Disability payments. They are two differ…ent types of Social Security Benefits.
What day of the month the funds is deposit on the direct express card for social security retirement?
Depends on what day is your birthday- can be the 2nd, 3rd or 4th Wednesday of the month.