[Quiz] How Much Do You Know About Social Security?
How much do you really know about Social Security?
Most people don’t know as much as they may think, especially when it comes to strategy questions like the best time to claim, and utilizing spousal benefits…
In fact, nearly half of adults ages 50 and above failed the 10-question quiz that mutual life insurance company Mass Mutual recently sent out in an online survey. Considering that this demographic should be far into the planning stages for optimizing retirement and Social Security, this is not good news.
Not only did respondents not understand the basics of Social Security planning, but according to this story by USA Today, 86% of respondents between age 50 and age 59 have not yet set up their online accounts with the Social Security Administration. Setting up an account helps protect against identity fraud, but it also is a good idea to periodically check your earnings record in your account to make sure it is correct. Errors are fairly common, and if you have an error on your Social Security record, it could end up costing you missed benefits. Since your benefits are calculated based on your highest 35 years of earnings, a missing year (or several), or improperly reported earnings amounts could reduce your benefits.
Test your knowledge about Social Security by noting whether you think each statement below is True, or False:
1. Under current Social Security law, my benefits will not be reduced if I claim them at age 65.
2. My spouse is eligible to receive Social Security retirement benefits, even if he or she has no individual earnings history.
3. If my spouse dies, I will continue to receive both my own benefit and my deceased spouse’s benefit; the total Social Security benefits I receive will not change.
4. Social Security retirement benefits are based on my earnings history; I’ll receive the same monthly benefit amount whether I start collecting before or after my full retirement age.
5. If I am still working when I claim my Social Security, my benefit might be reduced, depending on my earnings and my age.
6. Only U.S. citizens can collect Social Security retirement benefits.
7. If I file for retirement benefits and have minor dependent children, they may also qualify for Social Security benefits.
8. My Primary Insurance Amount is the Social Security retirement benefit amount I will receive if I elect to receive my retirement benefit at age 62.
9. Social Security payments are not subject to cost-of-living adjustments.
10. Government workers may receive reduced Social Security retirement benefits.
Ready to check your answers? Click over to the Mass Mutual quiz here for answers and explanations…