Social Security: Collecting at 70

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Lawyerjoe
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Social Security: Collecting at 70

Post by Lawyerjoe » Wed Jul 12, 2017 2:00 pm

I have been among the few able to file and suspend Social Security until age 70, while my wife collects. Now I am approaching 70 and as I understand it at age 70 there is no further increase in benefit due to delayed credits, so it is time to begin collecting.

How do I go about this? Do I need to contact Social Security to begin collecting, and if so, when should I do this?

The Wizard
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Re: Social Security: Collecting at 70

Post by The Wizard » Wed Jul 12, 2017 2:06 pm

Local SS office works, three months prior, to be sure they don't give you a retroactive lump sum...
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David Jay
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Re: Social Security: Collecting at 70

Post by David Jay » Wed Jul 12, 2017 2:07 pm

Lawyerjoe wrote:I have been among the few able to file and suspend Social Security until age 70, while my wife collects. Now I am approaching 70 and as I understand it at age 70 there is no further increase in benefit due to delayed credits, so it is time to begin collecting.

How do I go about this? Do I need to contact Social Security to begin collecting, and if so, when should I do this?
Yes, contact SS. If you have a local office, make an appointment. If not, you can contact them through the website (do you have a "MySocialSecurity" account?) or by phone.

I would do it at least 60 days in advance.
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thursdaysd
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Re: Social Security: Collecting at 70

Post by thursdaysd » Wed Jul 12, 2017 2:08 pm

I just did this. Yes, you need to contact SS. I applied in mid-March to start the benefit in August, and just got the approval. However, I have a very small pension from a UK company, if you have no complications it should be faster.
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David Jay
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Re: Social Security: Collecting at 70

Post by David Jay » Wed Jul 12, 2017 2:09 pm

The Wizard wrote:Local SS office works, three months prior, to be sure they don't give you a retroactive lump sum...
Good point!
Prediction is very difficult, especially about the future - Niels Bohr | To get the "risk premium", you really do have to take the risk - nisiprius

Ron
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Re: Social Security: Collecting at 70

Post by Ron » Wed Jul 12, 2017 2:13 pm

It should be automatic:

"The Program Service Centers (PSC) use automated systems to process voluntary delayed retirement credit (VDRC) reinstatements at age 70. For requests for voluntary suspension received April 30, 2016 and later, unless requested at an earlier point, we deem a beneficiary to have submitted a request for reinstatement of benefits the month before the month of attainment of age 70, with benefits reinstated the following month at age 70. When we reinstate benefits at age 70, we credit all VDRCs immediately." Reference: https://secure.ssa.gov/apps10/poms.nsf/lnx/0202409130

I turn 70 this January and expect to be notified sometime in December after the selection program is run, per the above POM. If I don't hear anything by January 1st (actually the 2nd, which is the first working day of the new year) I'll give them a call. My benefit letter (available on My Social Security) states that I filed for SS benefits in January 2014 (my FRA) but I currently do not receive any payments. That letter should change come January, with the updated payment information including any COLA's and DRC's for February 14th's payment.

Again, this is for folks who went through the file/suspend process, since we have already put in a claim to SSA. If you didn't contact SSA before the age of 70, I would contact your local office three months before your benefits are to begin.

- Ron

MIretired
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Re: Social Security: Collecting at 70

Post by MIretired » Wed Jul 12, 2017 3:50 pm

Ron wrote:It should be automatic:

"The Program Service Centers (PSC) use automated systems to process voluntary delayed retirement credit (VDRC) reinstatements at age 70. For requests for voluntary suspension received April 30, 2016 and later, unless requested at an earlier point, we deem a beneficiary to have submitted a request for reinstatement of benefits the month before the month of attainment of age 70, with benefits reinstated the following month at age 70. When we reinstate benefits at age 70, we credit all VDRCs immediately." Reference: https://secure.ssa.gov/apps10/poms.nsf/lnx/0202409130

I turn 70 this January and expect to be notified sometime in December after the selection program is run, per the above POM. If I don't hear anything by January 1st (actually the 2nd, which is the first working day of the new year) I'll give them a call. My benefit letter (available on My Social Security) states that I filed for SS benefits in January 2014 (my FRA) but I currently do not receive any payments. That letter should change come January, with the updated payment information including any COLA's and DRC's for February 14th's payment.

Again, this is for folks who went through the file/suspend process, since we have already put in a claim to SSA. If you didn't contact SSA before the age of 70, I would contact your local office three months before your benefits are to begin.

- Ron
I read this as 'this auto deeming of request for reinstatement at age 70' would not happen for someone who filed and suspended prior to 04-30-2016.

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Re: Social Security: Collecting at 70

Post by Ron » Wed Jul 12, 2017 4:33 pm

MIpreRetirey wrote: I read this as 'this auto deeming of request for reinstatement at age 70' would not happen for someone who filed and suspended prior to 04-30-2016.
unless requested at an earlier point

Here's some additional information concerning that 4/30/16 date and how it affects benefits: https://www.ssa.gov/planners/retire/suspend.html

- Ron

MIretired
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Re: Social Security: Collecting at 70

Post by MIretired » Wed Jul 12, 2017 5:30 pm

unless requested at an earlier point, we deem a beneficiary to have submitted a request for reinstatement of benefits the month before the month of attainment of age 70
I read the' unless requested at an earlier point' as applying to requesting reinstatement (at an earlier date than)(auto one month b4 age 70.) ?
A bit confusing, that it could be read 2 ways.

From your last link (Suspending Retirement Benefits.)
It says:
If your benefit payments are suspended, they will start automatically the month you reach age 70.
And further down in a box saying:
Note: Effective April 30, 2016:
If you request voluntary suspension on or after April 30, 2016, we will only permit benefit reinstatement beginning with the month after the month of your request
So, since there it doesn't specifically say what I had read into it, and does say what you say, I'd have to say you are correct.

I still see it being conflicting statements, though. Like here, they should have had only one person writing these, looks like. There's some wasted phrases in there. Got to be. :( Or left out phrases. :(

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Re: Social Security: Collecting at 70

Post by Ron » Wed Jul 12, 2017 5:37 pm

As it is, I'm going to give the local SS office a call to see if I understand it in my way of thinking/understanding.

- Ron

Alan S.
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Re: Social Security: Collecting at 70

Post by Alan S. » Wed Jul 12, 2017 5:42 pm

If you elect to contact SS, be very careful that they do not start your benefit prior to age 70, because if you start it even one month sooner you will forfeit a few months of DRCs earned in the final year. You will get all DRCs starting in the following year, but NOT retroactive to pick up those earned in the year your benefits begin.

The effect of this varies depending on WHICH MONTH of the year your benefit are effective.

MIretired
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Re: Social Security: Collecting at 70

Post by MIretired » Wed Jul 12, 2017 5:51 pm

The complete sentence that is confusing is:
For requests for voluntary suspension received April 30, 2016 and later, unless requested at an earlier point, we deem a beneficiary to have submitted a request for reinstatement of benefits the month before the month of attainment of age 70, with benefits reinstated the following month at age 70.
Edit: Just to mention: I have read many comments on these forums of persons apparently getting bad information from their local IRS office; as if these 'agents' don't always understand the rules themselves; or taking actions that you did not want/desire.

I mean SS office.

I am not yet FRA, and am not yet planning for the suspension of benefits. So, I'm not overly concerned, yet.
Last edited by MIretired on Wed Jul 12, 2017 6:01 pm, edited 2 times in total.

The Wizard
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Re: Social Security: Collecting at 70

Post by The Wizard » Wed Jul 12, 2017 5:57 pm

I'm 70 in Feb 2020.
Perhaps I'll wait till April 2020 to file for my benefit and they'll probably give me a nice lump sum for the two or three missed months.
I have time to ponder this...
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The Wizard
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Re: Social Security: Collecting at 70

Post by The Wizard » Wed Jul 12, 2017 5:58 pm

MIpreRetirey wrote: Edit: Just to mention: I have read many comments on these forums of persons apparently getting bad information from their local IRS office; as if these 'agents' don't always understand the rules themselves; or taking actions that you did not want/desire.
You probably mean SS office...
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Lancelot
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Re: Social Security: Collecting at 70

Post by Lancelot » Wed Jul 12, 2017 6:25 pm

Alan S. wrote:If you elect to contact SS, be very careful that they do not start your benefit prior to age 70, because if you start it even one month sooner you will forfeit a few months of DRCs earned in the final year. You will get all DRCs starting in the following year, but NOT retroactive to pick up those earned in the year your benefits begin.

The effect of this varies depending on WHICH MONTH of the year your benefit are effective.
Good advice from Alan. Personally, I would contact SS online and specify Alan's advice in the comments or notes section in the SS form. I hear that many SS representatives are not as knowledgeable about SS rules as many of our posters here :)

Congrats on waiting to 70 and receiving the nice bonus!
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Independent
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Re: Social Security: Collecting at 70

Post by Independent » Wed Jul 12, 2017 9:49 pm

I filed and suspended three years ago at 67. I'm trying to start benefits now.
I got better help from my local office than the national number.

BUT, it still got messed up. I got a letter confirming my start date and amount, and they were what I expected.

A week later, a got a different letter with a substantially lower amount. Somehow, someone at SS tried to go back and start benefits as of 67. I called the local office and talked to a guy who said he "got the request in" to go back to the age 70 start date I wanted. But, he warned me my first deposit could be wrong, and I might see a big retroactive benefit appear in my account. So, yes, I might well get a big retroactive benefit before it gets resolved. I'll watch closely.

My advice is to watch very carefully.

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Re: Social Security: Collecting at 70

Post by Ron » Thu Jul 13, 2017 12:23 pm

I just got off the phone with my local SS office and they verified what I had stated earlier.

I did a file/suspend in January 2014, when I attained FRA.

I will receive a letter/notification from them this December, telling me that my claim is changing status effective January.

I will start receiving my (age 70) monthly benefit starting in February. For me, it will be a sweet Valentine's day, since that's the date of my first deposit. BTW, they have all the direct deposit information from when I initially claimed in 2014.

They will not backdate the claim date six months, as others have mentioned. I would assume that this may be a problem for those that are just setting up their initial claim, not those that have done a file/suspend where no further intervention with the SS office is required, assuming you are delaying your payments to age 70.

FWIW,

- Ron

MIretired
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Re: Social Security: Collecting at 70

Post by MIretired » Thu Jul 13, 2017 4:15 pm

Ron wrote:I just got off the phone with my local SS office and they verified what I had stated earlier.

I did a file/suspend in January 2014, when I attained FRA.

I will receive a letter/notification from them this December, telling me that my claim is changing status effective January.

I will start receiving my (age 70) monthly benefit starting in February. For me, it will be a sweet Valentine's day, since that's the date of my first deposit. BTW, they have all the direct deposit information from when I initially claimed in 2014.

They will not backdate the claim date six months, as others have mentioned. I would assume that this may be a problem for those that are just setting up their initial claim, not those that have done a file/suspend where no further intervention with the SS office is required, assuming you are delaying your payments to age 70.

FWIW,

- Ron

Good on you you found out.
You know, it's already past 04/30/2016 and I haven't filed and suspended yet, so that date won't be a confusion for me? :?
Oh. I thought of another meaning of "unless requested at an earlier point" -- if I had requested b4 then (04/30/2016) to have my benefits resumed at age 70 (one month b4.) ;if you can even do that! Ha Ha :D

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