A while back we had a thread debating the problems with Social Security and the gloomy outlook for Gen X/Y when it comes to retirement and SS.
While all those issues remain, I was reminded recently that I and my fellow Gen X/Y young dreamers do receive one immediate benefit of SS even if we're not among those Boomers currently receiving SS income. Namely, SS provides a not-too-shabby "life insurance" for all of us younger worker via its survivorship benefits.
Were I to die tomorroe, my surviving spouse and child would receive SS payments based on my SS contributions to date. While it's far from a complete life-insurance solution, one might want to factor some SS survivorship benefits into his estate planning which would reduce the amount of life-insurance you end up paying for.
I know it's not news to anyone, but I had forgotten about it in my posts about Social Security and its systemic problems, and just thought I'd mention it as one way in which we younger workers receive some immediate benefit from the current system.
The SSA has some nice calculators here:
Choose a Benefit Calculator
While all those issues remain, I was reminded recently that I and my fellow Gen X/Y young dreamers do receive one immediate benefit of SS even if we're not among those Boomers currently receiving SS income. Namely, SS provides a not-too-shabby "life insurance" for all of us younger worker via its survivorship benefits.
Were I to die tomorroe, my surviving spouse and child would receive SS payments based on my SS contributions to date. While it's far from a complete life-insurance solution, one might want to factor some SS survivorship benefits into his estate planning which would reduce the amount of life-insurance you end up paying for.
I know it's not news to anyone, but I had forgotten about it in my posts about Social Security and its systemic problems, and just thought I'd mention it as one way in which we younger workers receive some immediate benefit from the current system.
The SSA has some nice calculators here:
Choose a Benefit Calculator