It's impossible to live in America without having heard of Social Security retirement benefits. Yet, a surprising number of people close to retirement age are unfamiliar with the eligibility requirements. As with many government programs, the details can be complicated by specific circumstances, but in general, the following people are eligible for Social Security.
Eligibility Defined
In the broadest sense, a person is eligible for Social Security benefits if they meet the requirements and have filed an application. Eligibility is age based, and benifit payments are determined by how much money you earned while you were working at Social Security eligible jobs. That means any work you may have done "under the table" or "off the books" will lower your benefit payment.
Others Who Qualify
Members of your family may be eligible for benefits based on your work history. For example, if your spouse is 62 years old or older, or if a spouse under 62 is caring for a child under 16 or disabled, children under 18 who are unmarried, 18 or 19 year olds in high school and children of any age who have disabilities that started before they turned 22, may all potentially receive benefits. Even a divorced spouse, if they were married to you for at least ten years, may be eligible. Social Security also provides survivor's benefits if you die.
Work Requirements
Social Security benefits are based on your work record and operate on a “credit” system. You generally receive four credits for each year worked. A total of forty credits are required to be eligible, which translates to a work history of at least ten years. Based on 2013 figures, you get a credit for every $1160 you earn for up to four credits per year. Once you have 40 credits, you are fully insured and are entitled to benefits. To find out if you have earned enough credits, check the Social Security website, where you can also find out your estimated benefits.
Age Requirements
To get full Social Security benefits, you must be between the ages of 65 and 67, the exact age being determined by when you were born. The full retirement age for anyone born after 1958 is 67. You can continue to work after retirement, with no loss of benefits. However, if you take early retirement at age 62, you may have the benefits reduced if you continue working past a certain income threshold. Those who take early retirement are eligible for less generous benefits because they are presumably going to collect for a longer time. Conversely, those who work past their retirement age will have their benefits increased because of their extra years of work.
If you are uncertain about your eligibility, the wisest thing to do is to contact a Social Security representative several months before you are ready to retire so he or she can advise you.
