Depressing letter from SSA
The Social Security Administration recently sent me a letter about how much I can expect to receive when I retire. Included was a statement about how much taxable earnings I had each year. I made the mistake of totaling up those numbers. It came to not quite $560,000 for 40 years in the work force. 
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Mobuck wrote:Just make sure everything you owe is paid off before you retire."
I think that is the #1 goal. Perhaps it is because those that plan toward that also have other investments, but I have rarely heard money complaints from those that retire debt free.
Depending on family dynamics, and whether there are heirs you want to leave real estate to, there's always the reverse mortgage option later in life if needed too.0 -
SSA is such a scam. 0 -
Calling it a tax cut is a bunch if horse$h!t.
What you should say is I have been Maxed Out at what the law allows for them to take from me.- a number they also raise annually.Squid wrote:As noted SS is a tax PLAIN and SIMPLE however if you make over 135K a year you get a automatic 12.6% tax cut on the money you make over the limit. Cap should have been gone a LONG time ago. The argument that the wealthier people don't get to draw a higher benefit is stupid, they also don't get food stamps. IT IS A TAX that you get a deal out of for all earnings over X0 -
Grouch Attack has suddenly realized that she's going to have to work at least to age 65 to have a worthwhile SS payback even though she's already past 20 years with her present employer. This is the downside of taking a low effort, low pay job just to say she's working. There are lots of folks in this situation. They've had a job that barely paid expenses, didn't invest because they couldn't, and suddenly realize they're coming to the end of their working life w/o much to show or much expectation of return. Too late to change and looking at whatever years are left in literal poverty.
Folks can't live on that sort of money with the cost of health care, insurance, and upkeep of a home.0 -
SW0320 wrote:Don McManus wrote:Just pulling your chain a bit, bambihunter.
From a cost standpoint, I look at employer FICA withholding as part of cost of the employee, including myself. Just as workermans's comp, UI, and Medicare deductions.
The total contribution, employee plus employer, goes into the fund for the future benefit of the employee. From that standpoint, everyone gets the same percentage return based upon their wages.
The big picture, however, is that it is the Federal Government hiding cost of employment from employees. While many are aware of the impact on the bottom line, I would think the average employee sees the 7-odd percent as what is being paid without internalizing that the Feds are actually taking 15-odd percent of each dollar they earn. I would much prefer to see the total as a line item on the employee's pay stub. It would open some eyes as to what our friends in DC are taking from them.
A better idea would be to have everyone make quarterly estimated tax payments. Then you would really see how much the Govt is taking.
I have seen many a friend go from being an employee to self employed and they are shocked about how much they have to pay in on a quarterly basis.
Agree whole-heartedly. The only problem is that there will be many who do not plan ahead and who will continually be behind in payments.
We are a Sub-chapter S corporation, and there have been many quarters over the past 30 years where I have written a check to Uncle Sam that was greater than what I took home from the company. When one considers there has been 15% for FICA, it just gets depressing.0
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