Social Security and Citizenship

[CZPHope]

Hello All,

I keep hearing that one has to be a US citizen in order to claim/get social security benefits. Is it true.? If not , how will it work out with someone who just abandons residence here in US and settles down abroad. Please let me know.

-thanks.

 

[chanakya101]

You have to have worked in the US for a certain amount of time (10 years)

I think it is also based on points (I think 40). The way social security is going, don't count on it unless you are about to retire. Fed Reserve Board Chairman Dr. Greenspan recently commented on this

 

[chanakya101]

Y

Yup. You get 1 point per quarter, which results in 10 years.

I think it is based on the annual income. You get 4 points max. per year. It may not be related to quarter?

 

[chanakya101]

When you've earned $3,560, you've earned your four credits for the year.

I thought we need about 20K/year for 4 points

 

[sssnayak]

Originally posted by chanakya101
I thought we need about 20K/year for 4 points

Max of four points and an income of $900 per point for year 2004. The amount is adjusted every year for inflation. However, in determining actual retirement benefit, your actual income comes into play. If I remember right I think highest 15 annual incomes will be used.

Of course, all this calculation is good only if Social security benefits still exist when one retires!!

 

[lecinq]

I'm curious -- let's say someone works until he's 65, and another stops working prior to that. That's say way before she gets to 65. But both have of them have worked for at least 15 years and their incomes also turn out to be the same for the 15 highest incomes.

Will their social security benefits be the same (if they apply at the same time, etc.)?

Thanks.

 

[sssnayak]

I too am interested in knowing that. http://www.ssa.gov has a document explaining the method. It was not very simple. Also, there is a calculator where one can put their incomes and get an estimate of benefits.

 

[lecinq]

I played around with that calculator a bit -- the trouble is that I think that the percentage taxable for SS benefits has changed over the years, but it's possible to get a sense for the implied salaries used for various inputs. For someone who's been making more than 100K and is about to retire now, the present value of the monthly benefit is supposedly around $1,680. This is probably near the maximum benefit amount.

Supposedly the current projections are that the system will be bankrupt in 2042 anyway.

But still I'm interested in knowing whether the benefits change if you stop working much earlier.