Social Security is pivotal in retirement plans for Americans. Millions of citizens rely on Social Security benefits for their day-to-day living. Social Security is the framework to support retired employees, disabled people, and their immediate family members. The program offers an assured lifetime amount for individuals who cater to specific criteria set by the federal agency, SSA (Social Security Administration). But in reality, it is more than just a retirement plan. This Social Security guide highlights the most important types of benefits people are interested in.
Types of Social Security Benefits
When you explore Social Security benefits, you will come across four primary categories.
Retirement Benefits
The retirement benefit is a monthly income that alters the part of your income when an eligible individual reduces the working hours or completely stops working. It doesn’t replace the entire income, and there are ways to afford monthly expenses with aging.
Eligibility Criteria
Eligibility for Social Security Retirement benefits depends on the work individuals do. Every job in the country incurs Social Security taxes out of the pay so that there is a monthly income in the form of a retirement benefit in the future.
SSDI (Social Security Disability Insurance)
Also known as Disability benefits, the SSDI (Social Security Disability Insurance) offers a monthly income to individuals with a disability that completely restricts or limits their potential to work.
Eligibility Criteria
The Social Security guide reveals that individuals are eligible for SSDI benefits if they suffer from blindness or other disability and possess an adequate work history.
Disability benefit is viable if it impacts the potential to work for at least a year or more. Additionally, if there is a chance of death because of blindness or other disability, individuals are eligible for disability benefits. If such individuals continue with employment, they can earn up to a restricted upper-limit income to seek Disability benefits.
To seek Disability benefits, individuals should have worked at least five years of the last ten years. People under 25 might not have worked long, so individuals should research more and claim their eligibility.
The Disability Benefits extend to family members of eligible candidates. Children (up to a specific age limit), spouses, and ex-spouses qualify for family benefits under the Disability benefits.
Supplemental Security Income (SSI)
The Supplemental Security Income offers monthly income to senior citizens and disabled individuals with no income or few resources.
Eligibility Criteria
As per the social security guide, there are three categories under which individuals are eligible for SSI benefits.
Little or No Income
Individuals with less than $2000 from work every month are eligible for SSI benefits. The other income sources are pensions, disability, and unemployment benefits.
Little or No Resources
The things individuals own are also taken into account for SSI benefits. Cars or vehicles and the money in banks are considered as resources. The resources shouldn’t be more than $2000 and $3000 for singles and couples, respectively. Parents applying with children increase the benefit amount by $2000.
Senior Citizens or Disabled
If individuals are 65 years and older, they are senior citizens eligible for SSI benefits with or without disabilities. Further, if people are 64 years or younger but have a disability that impacts their potential to work for a year or more, might result in death, or seriously restrict day-to-day activities and tasks, they are eligible for SSI benefits.
Spouse and Survivor Benefits
It is a monthly paycheck to family members of eligible candidates who have worked and paid taxes before they lost their lives.
Eligibility Criteria
Spouses
If you are a spouse of 60 years or older, were married for a minimum of nine months before your spouse’s death, and never remarried before 60, you are eligible for spouse and survivor benefits.m
Ex-Spouses
If individuals were married for a minimum of ten years to the eligible candidate before divorce, they are eligible for the benefits.
Children
Kids of eligible candidates qualify for the benefits if they are:
- Unmarried
- Minor
- Full-time school students (age 18 to 19)
- Special needs
- Disability at 21 years or younger
There are certain circumstances when benefits are paid to married, stepchildren, adopted, grandkids, and step-grandkids.
Dependent Parents
Parents of 62 years or older in need of financial support and who were dependent on their child before death are eligible for the benefits.
Conclusion
The Social Security guide renders benefits based on employment years and income earned. It is a retirement plan and extends benefits and support for spouses, children, senior citizens, and disabled people.