What happened to my Social Security increase?

Social Security

By Chuck Stovall

Question: I just received my Social Security check and it is the same amount as last year. I have always received an increase in January. Why didn’t I get one this year?

Answer: Since this has never happened before, I have received many questions wondering what happened to this year’s Social Security cost-ofliving increase. By law, benefits increase automatically each year only if there is an increase in the Bureau of Labor Statistics’ Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) from the third quarter of the last year to the third quarter of the current year. There was no increase in the CPI-W from the third quarter of 2008 to the third quarter of 2009. A lot of the reason for no increase was due to the high energy prices in 2008—which were largely responsible for last year’s 5.8 percent COLA (cost of living adjustment) increase. After energy prices declined in 2009, according to the CPI-W there was no inflation increase from 2008 to 2009. To learn more, visit www.socialsecurity.gov/cola.

Question: I’m thinking about getting disability protection from a private company. If I become disabled and have a private policy, would it reduce my Social Security disability benefit?

Answer: No. Your eligibility for Social Security disability benefits is not affected by any private insurance you may have. But, you may be interested to know that worker’s compensation and certain other public disability payments might affect your Social Security benefit.

Question: Why is there a fivemonth waiting period for Social Security disability benefits?

Answer: By law, Social Security disability benefits can be paid only after you have been disabled continuously throughout a period of five full calendar months. Therefore, Social Security disability benefits will be paid beginning with the sixth full month after the date your disability began.

Question: I got an e-mail that says it’s from Social Security, but I’m not so sure. They want me to send in my Social Security number, date of birth and mother’s maiden name for “verification.” Did it really come from Social Security?

Answer: No. Social Security will not send you an e-mail asking you to give us your personal information, such as your Social Security number, date of birth, or other private information. Beware of such scams—they’re after your information so they can use it for their own benefit. When in doubt, or if you have any questions about correspondence you receive from Social Security, contact your local Social Security office or call us at 1-800- 772-1213 (TTY 1-800-325-0778) to see whether we really need any information from you.

Question: I’m reaching my full retirement age and I’m thinking about retiring in April. When is the best time to apply for Social Security benefits?

Answer: You can apply up to three months before your planned retirement date. So if you are planning on retiring in April, you can apply now. The easiest and fastest way to apply for retirement is online. Just go to www.socialsecurity.gov/applytoretire. Applying online for retirement benefits from the convenience of your home or office are secure and can take as little as 15 minutes.

Question: I am about to apply for Social Security disability benefits. I have two children, ages nine and 12. If my application is approved, will they get benefits, too? Or do the children also have to be disabled to qualify for benefits on my record?

Answer: If you qualify for Social Security disability benefits, your children may receive dependent’s benefits based on your work record, even if they’re not disabled themselves. As long as you receive benefits, their benefits will continue until they reach age 18, or until age 19 if they are still in high school. If your children are disabled, however, at the time that they reach age 18, they may be able to continue receiving benefits into adulthood. For more information, visit our website on disability benefits at www.socialsecurity.gov/disability.

Chuck Stovall is public affairs specialist and assistant district manager for the Social Security Administration of Northern Indiana If you have questions about Social Security, e-mail him at charles.j.stovall@ssa.gov.

This is part of the January 13, 2010 online edition of Frost Illustrated.

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