#socialsecurity

Summer Webinar Series Replays Available

Our BFSG Summer Webinar Series is now available to watch on our YouTube channel “BFSG University”.

This Summer Webinar Series focused on #retirementplanning around the following topics:

  • Retirement Q&A: Ask the Experts – Hear the Certified Financial Planner™ professionals at BFSG answer #retirement related questions.
  • Retirement Accounts: Traditional vs. Roth – Learn the typical ways to save in retirement accounts and why #taxdiversification matters in retirement.
  • Healthcare in Retirement – BFSG and our special guest speaker, Brian McArthur, the founder of The Medicare Execution Process™, discuss navigating the #healthcare landscape once you reach retirement.
  • The Future of Retirement in America – BFSG was joined by Ted McCann, Vice President of the American Ideal Foundation and a former Senior Advisor to former House Speaker Paul Ryan, to discuss the retirement landscape and how it could change in the future.

Have a friend, family member or colleague who might be interested in watching our webinars? Feel free to forward them the link: https://www.youtube.com/playlist?list=PLTcnlJ5qj_fcLxv5BK_IGry_RiI-ywSep

Disclosure: BFSG does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to BFSG’s web site or blog or incorporated herein and takes no responsibility for any such content. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly. Please see important disclosure information here.

The Future of Retirement in America

Most retirement savers assume they will be able to access Social Security and Medicare in retirement, but what if those options become unavailable?

Join our webinar on July 29th at 10 am PST for an important discussion on the future of retirement in America and how you can prepare for potential changes to the retirement landscape. BFSG Wealth Manager Andrew Donahue, CFP®, MHA will be hosting the event, and Andrew will be joined by Ted McCann, Vice President of the American Idea Foundation and a former Senior Advisor to former House Speaker Paul Ryan.

Medicare Part B Premium

If you have just recently enrolled in Medicare, you may be wondering how your premiums are calculated. Although Medicare eligibility is not income-based, the income you report on your tax return does play a role on your monthly premiums. As with everything else when it comes to IRS and taxes, things can get complicated and confusing!

As a refresher, Part A (hospital) generally has no premium, but Part B (doctors) has a base premium. To put it simply, the standard Part B premium amount for 2021 is $148.50. Most people end up paying that amount. However, if your modified adjusted gross income1 (MAGI) as reported on your IRS tax return from 2 years ago is above certain thresholds, listed in the below table, the monthly premiums will end up higher.

Keep in mind that if you are already receiving social security benefits, your Part B premium is automatically deducted from your benefit payments.

The rules are not set-in-stone though, so Social Security is able to adjust your premiums if you have experienced a “life-changing event” that caused a significant income reduction. For example, if your marital status changed, or you lost your job or income-producing business or property. You would need to file Form SSA-44 to request a reduction in your income-related monthly adjustment amount.

If you want to learn more, check out our Medicare webinar we recorded last year. If you have any questions or need clarification regarding your Medicare or Social Security benefits, feel free to reach out to us.

  1. Income based on Modified Adjusted Gross Income (MAGI) includes tax-exempt interest income.

Disclosure: BFSG does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to BFSG’s web site or blog or incorporated herein and takes no responsibility for any such content. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly. Please see important disclosure information here.

How President Biden Could Impact Social Security and Medicare

It is no secret that both Social Security and Medicare are underfunded, and changes are needed. This is a common concern that we hear from many clients approaching retirement. These programs are vital to retirees and it is clear that President Biden has some clear plans to help these programs remain solvent and also provide some benefit expansions.

Social Security

During his campaign, President Biden had a clear plan for Social Security. Below are some of the highlights:

  • Add a new tier for payroll tax contributions for incomes over $400,000. The current tax is 6.2% that is paid by both the employee and employer for a total of 12.4% on income up to $142,800.
  • Offer credits for Social Security to caregivers for time spent out of the workforce. This is designed to specifically help women and deal with the current gender gap in benefits.
  • Change the Cost-of-Living Adjustment (COLA) to be linked to CPI-E. This should increase the annual COLA that individuals would receive on their benefits.
  • Currently, the surviving spouse gets the higher of the two Social Security benefits, which can cause a large decrease in the benefits they receive going forward. To help survivors there is a proposal to have the surviving spouse receive 75% of the combined benefits, so long as the new payment does not exceed the benefit received by a two-earner couple with average career earnings.
  • Phase in a bonus equal to 5% of the average benefit to beneficiaries who had collected payments for 20 years.

Medicare

There are many parts to Medicare. The focus on the plan changes is on Part A (covers hospitalizations) as it is the most underfunded and does not have the same revenue streams as the other parts of Medicare.

  • Decrease the age for Medicare to age 60 or lower to expand the benefits.
  • Change Part A funding to general revenue so it would be funded like the other parts of Medicare.

Disclosure: BFSG does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to BFSG’s web site or blog or incorporated herein and takes no responsibility for any such content. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly. Please see important disclosure information here.

Announcing Our Financial Planning Summer Webinar Series

We are very excited to announce an upcoming webinar series on some of the most common topics about which our clients ask us. This series will cover Social Security, Medicare, Estate Planning, and Financial Planning. Each webinar will be hosted by one of our Financial Planners along with a guest speaker who is an expert in the subject matter. The guest experts will also be available to discuss and answer your questions during the Q&A portion. Below are the dates and times for the webinar and click on the links to register:

July 7th at 10:00 AM PDT – Social Security

July 14th at 10:00 AM PDT – Medicare Planning

July 21st at 10:00 AM PDT – Estate and Legacy Planning

July 28th at 10:00 AM PDT – The 7 Pillars of Financial Planning

These webinars will be very informative and are a great opportunity to have your questions or concerns answered by experts. The webinars are complimentary so please feel free to share the information on them with friends and family.