Estate Planning and Elder Law attorneys try to raise awareness about the limitations of the Social Security program as a source of retirement income.
When you look at the statistics, you see that a significant percentage of baby boomers are finding out that they are never going to be able to retire. Many of them got into this disadvantageous position because they were expecting too much from Social Security.
The amount of your Social Security benefit is calculated based on the 35 years during which you earned the most amount of money throughout your life.
There is a maximum amount of earnings that can be taxed for Social Security purposes. This year that maximum is $113,700. This gives you an idea of how much money you would have had to have made over 35 years to qualify for the maximum monthly benefit when you become eligible to receive Social Security.
If you are among the few people who actually contributed the maximum amount for 35 years and you retired in 2013, your monthly benefit as a single person would be $2,533.
The average Social Security benefit for a couple in the United States in 2013 is just $2,048. The average monthly payout for an unmarried individual who qualifies for the program is $1,261 this year.
When you look at these figures, you can plainly see that Social Security alone is not going to finance a comfortable retirement. The only way that you can live out your retirement dream is by sticking to a professionally prepared long-term financial plan.
If you’re ready to start acting within a cogent framework that leads to the fruition of your goals, take action right now to contact our firm for a free estate planning consultation. You can reach us through the form that you will see after clicking this link: Estate Planning Consultation or by calling (408) 356-9200 or (831) 476-2400.