Social Security
Despite all the public information materials available, many individuals have little knowledge of their social security benefits. This is because of the complexity of the program; and, the lack of financial planning for retirement that incorporates social security benefits.
Note: The Social Security Administration sends Form SSA-7005 entitled Your Social Security Statement three months before your birthday. This is a valuable Statement. It should be checked carefully to ensure the earnings on your record are correct and it should be retained until the next Statement is received. If you have discarded your most recent Statement, you may request a copy by calling the toll-free number: 1-800-772-1213 or from the Social Security Internet site at http://www.socialsecurity.gov. See the AIME page for an explanation of how social security benefits are computed.
There are several significant issues facing current workers: the retirement age is increasing from 65 to 67, and the reduction for early retirement at age 62 will increase from 20% to 30%; spousal benefits will be reduced at age 62 from the current 37.5% to 32.5%; and, cuts are being planned in future benefits. See the Full Retirement Age [FRA] page for details about the change in the retirement age.