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Social Security pays a month behind - effect on taxes
08-06-2016, 02:45 AM
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#1
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Social Security pays a month behind - effect on taxes
This seems like a no-brainer. However, because it's a government program, I gotta ask.
My understanding is if one's first full month of eligibility is December 2016, he is paid in January 2017. That payment is income for tax year 2017. Correct?
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ER Oct 2008 at age 54. An expat enjoying a mild 4 season climate after 11 years in the tropics.
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08-06-2016, 05:56 AM
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#2
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
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Unless your birthday is between November 2 and December 2, your first month of eligibility will not be until January and you will not receive your first payment until February. Government logic at work.
In your example the payment is for the 2017 tax year.
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Numbers is hard
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08-06-2016, 06:37 AM
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#3
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Join Date: Jun 2008
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Quote:
Originally Posted by REWahoo
Unless your birthday is between November 2 and December 2, your first month of eligibility will not be until January and you will not receive your first payment until February. Government logic at work.
In your example the payment is for the 2017 tax year.
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Thank you, however you missed a key point, which is now in bold:
Quote:
Originally Posted by ItDontMeanAThing
if one's first full month of eligibility is December
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ER Oct 2008 at age 54. An expat enjoying a mild 4 season climate after 11 years in the tropics.
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08-06-2016, 11:28 AM
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#4
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Moderator
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Location: Flyover country
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Quote:
Originally Posted by REWahoo
Unless your birthday is between November 2 and December 2, your first month of eligibility will not be until January and you will not receive your first payment until February.
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That must only apply to first time eligibility.
I started collecting when I turned 70 (birthday after the 2nd, but in the first week of the month), and they paid me for the whole month of my 70th birthday.
In fact, although the first payment was supposed to be on the 2nd Wednesday of the following month, it actually hit my bank account on the 27th of my birthday month.
Sometimes bureaucratic inefficiency actually works in your favor!
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08-06-2016, 12:19 PM
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#5
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08-06-2016, 12:23 PM
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#6
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Quote:
Originally Posted by braumeister
That must only apply to first time eligibility.
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Correct.
I should know better by now than to respond to a SS post...
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08-06-2016, 02:07 PM
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#7
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Moderator Emeritus
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My FRA birthday was yesterday (yay, happy birthday to me!). Two months or so ago I applied to start SS at my FRA. I was told then and just got the award letter verifying that my first payment for the month of August (my first month of eligbility) will hit our checking account mid-September. Same was true for DH, applied before his mid-December FRA birthday and was paid starting in January, and was income for that tax year, not the December tax year.
Maybe the first check is paid later if you apply before FRA.
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08-06-2016, 06:44 PM
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#8
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Quote:
Originally Posted by REWahoo
Did you miss a key point, my final paragraph where I answered the question you asked?
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Sorry, yes I did. Thanks.
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ER Oct 2008 at age 54. An expat enjoying a mild 4 season climate after 11 years in the tropics.
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08-06-2016, 07:33 PM
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#9
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Administrator
Join Date: Jan 2008
Location: Chicagoland
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Quote:
Originally Posted by Bestwifeever
My FRA birthday was yesterday (yay, happy birthday to me!). Two months or so ago I applied to start SS at my FRA. I was told then and just got the award letter verifying that my first payment for the month of August (my first month of eligbility) will hit our checking account mid-September. Same was true for DH, applied before his mid-December FRA birthday and was paid starting in January, and was income for that tax year, not the December tax year.
Maybe the first check is paid later if you apply before FRA.
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Happy birthday, Miz Feever
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08-06-2016, 08:40 PM
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#10
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
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Miz Feever? Shouln't it be FRA Feever?
Alles Gute zum Geburtstag!
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