What would happen to a wife who never had the chance to work after her husband dies? What would happen to a child who had lost his parent to whom he or she receives support? Will they starve? How will they pay the rent? Will they be able to get back on their feet?
With the help of the Social Security Administration (SSA), they sure can!
The Social Security came up with a solution to the problem being experienced by someone who had lost someone, especially if that loved one is the wage earner in the family.
The SSA created the Spouse Benefit Program. This program seeks to aid persons who lost their working spouses due to death. This program entitles the surviving spouse to receive the deceased worker0s retirement benefits:
1. Upon reaching the age of 62 years
2. At an earlier age if she is getting higher SS benefits based on her records. In which case, her spouse benefits shall be reduced by percentage based on the number of months up to her full retirement age
For instance, if the spouse begins collecting benefits at the age of:
a. 64 years 0 she will get 46% of the worker0s benefit;
b. 63 years 0 she will get 42% of […]
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Losing a loved one is hard. It is additionally difficult when that person was the one who was providing for the family. Without him, family members begin to think that they had no one else to turn to for support, especially for emotional and financial support.
Luckily, this is not true. Social Security came up with a seamless solution. With the help of the Social Security Survivor Benefits Program, surviving family members would be able to get on their feet after the loss and start anew.
What is Survivor Benefits?
Survivor Benefits program was launched by the Government to aid surviving family members. This is being done by providing them monthly pensions based on the Social Security taxes contributed by the deceased wage earner.
How can a worker be eligible for Survivor Benefits?
By paying contributions to the Social Security, a worker earns credits that are transmitted to his Survivor Benefits. Generally, his eligibility is founded on the number of years he/she worked and how old he/she died.
Younger workers earn higher credits than older workers. Nevertheless, a worker who has rendered 10 years of service is automatically entitled to the Survivor Benefits.
Exception: If within three years before the worker0s death, he had worked for […]
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This may be their spouse, who will use the funds as a means of support for the remainder of their own life, or, in the case of younger individuals the beneficiaries are often dependent children who will need funding for their education and support before reaching adulthood.
These kinds of policies are an especially good hedge against the accidental death of a family0s primary provider. It is not uncommon for a husband to have a policy with his wife as a beneficiary and for the wife, in turn, to have coverage naming the husband to receive her policy0s value. However, as people age, they often find fewer reasons to maintain such coverage, which can, over the life of the policy, become a financial burden. Given that fact, there are actually times when it makes more sense to sell your life insurance policy and to benefit immediately from the cash reward. For instance:
0 Your intended beneficiary precedes you in death and there is no one else you want to name or feel you have a responsibility to name.
0 The premiums become more than you can afford after retirement when most people find themselves living on a fixed income.
0 You need access to the funds to […]
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