Setting Up Withholding From Checks

Stanley from California writes:

Without going to the SS office in Palm Springs, where do I find the forms to have withholding tax withheld from my monthly checks. I had it done in 2009 then canceled the WH in 2010 because I wasn't working, but guess what, this 80 yr old Pharmacist has been invited back to be PIC (Pharmacist in Charge) of a concierge infusion pharmacy catering to the uninsured elders with means to pay for this service. Your help would be appreciated.
Sincerely
Stanley

ANSWER: Well Stanley congratulations are in order on your new position! Now I wonder what a concierge infusion pharmacy is? But getting back to your question, if you choose to have SSA withhold taxes from your benefits, you must file IRS form W-4v with the Social Security Administration. You can simply mail it to your local SSA office. Here is a link to the IRS for a down-loadable and fill-able form with instructions: http://www.irs.gov/pub/irs-pdf/fw4v.pdf

If you have not been to the locall SSA office lately and want to check for its current location, here is a link to the online SSA office locator: https://secure.ssa.gov/apps6z/FOLO/fo001.jsp

Note that monthly withholding is not required, you can pay directly to IRS with quarterly estimated payments if you are familiar with that process. But I suppose you would prefer the convenience of withholding now that you are going to a very busy man. Again, congratulations.

When the Payment Date Is A Sunday

Ramon from California writes:

I receive my check on the 3rd of the month, which falls on Sunday. Will it be delivered on Saturday or Monday?

ANSWER: When the payment date is on a Saturday, Sunday, or a legal Federal holiday, the check will be dated for the first day before that is not a Saturday, Sunday, or legal Federal holiday. So this year the checks will be paid on Friday, April 1. Let's see if there's any April Fool's jokes in the envelope.

Widow's Benefit On Top Of Disability Benefit

Suzanne from Florida writes:
I only have one question - I am 58 years old and am on social security disability. My husband is 78 years old and gets regular social security. If he dies (heaven forbid) do I get any of his benefits as a survivor on top of my disability payments????

ANSWER: Yes Suzanne, you would be eligible for a widow's benefit even though you are under age 60 because you are disabled. Disabled widows are eligible as young as age 50 if totally disabled. The benefit would be reduced for age as if you were age 60. The difference between your disability benefit and the widow's benefit would be added to your disability amount, so although you would be receiving two benefits, the total would be no higher than the widow's benefit amount alone. Of course, if your own disability benefit is higher you would continue to receive that. You could also defer receiving the widow's benefit to full retirement age to get an unreduced benefit then if it is higher.  But let's hope you don't need to consider these things for a long, long time!

Disability Benefits at 62 Years Young

Mark from Hawaii writes:

In February I became 62 but I have been disabled from work since 52 years old. Do I get an increase in my pay for being 62 years young?
Mahalo and thank you.

ANSWER: Sorry Mark, no. The disability benefit amount is already figured as if you were at Full Retirement Age when it was awarded. At Full Retirement Age (age 66 for you) the disability benefit will be converted to a retirement benefit, but the amount stays the same.

Child Under 18 Paid All Year

Kathy from Ohio writes:

For a child under 18 and in school, on Social Security benefits, are the benefits paid all year long or only when the child is in school--nine months?

ANSWER: Yes they are paid all year long. When the child turns 18, if he or she is in secondary school, benefits continue till graduation. If the child takes secondary school level courses after graduation, benefits can continue up to age 19 if the child is in full time attendance, and even a couple of months after 19 depending on the school program.  The benefits are paid during vacation months, unless the child turn 19 in non-attendance month, at which time they stop.

Delayed Retirement Credits Not For Wife Or Child

Bill from Missouri writes:

Thank you for making your book "Social Security Benefits Handbook" available on the internet. It is the clearest and most helpful resource I have found. I have a question.
I am 61 years old. When I file for Social Security benefits sometime between age 62 and 70 my wife and disabled child will become eligible for payments equal to 1/2 of my monthly benefit. If I then exercise my option to either suspend my payments, or invest them and return them to the Social Security Administration at age 70, thus making my payment go up by 32%, will my wife's and my child's payments also go up by 32%, or will their payment amounts always be based on my benefit back at the time I originally applied?
Thank you for your help.

ANSWER: Thank you for your very kind compliment. I wish I could have better news for you, but no, the Delayed Retirement Credits are not applied to your wife's or child's benefits. The amount of your increased retirement benefit however will be used to figure a widow's benefit if you should predecease your wife. And by the way, if you take benefits before 70 and then withdraw the application and pay them back to get the 32% increase, you would also have to pay back the wife and child benefits paid on your account, which makes that a less desirable option.

Husband's Earnings Don't Count Against Wife's Own Benefits

Wayne from Minnesota writes:

I am writing after reading your book SS Answer Book. I am 61 and will continue to work for 3-4 more years. My wife is 61 and "retired" last year. We file our taxes jointly. Can she file for SS benefits at 62 regardless if I am still working full-time and our "joint" income exceeds the limit for SS? She will not have any W-2 income, just income from her investments.
Thank you

ANSWER: Good question Wayne, but not to worry, if she is filing on her own earnings record. She can collect her own benefits without your earnings having any effect. It is only if she collects a spouse's benefit on your account that your earnings may be considered for withholding of benefits. Of course, her SS benefits may be subject to taxation by IRS.