Social Security: Do you qualify for Social Security if you work from home?
Guest Post: Michael Morelli
The Social Security Program has supported elderly US Citizens to lead a quiet and soothing life after retirement. Under this coverage, besides the Retirement benefits, they can extend coverage to their dependent. Likewise, there are benefits available for Disability. On the whole, this program makes a significant difference to the lifestyle of the retired US workforce. Their lives would have dropped down significantly if they had not got this program.
Incorporated in 1935, the scope of this program was gradually extended to cover all categories of workers. The question is what about those who are working from their homes. Today, a significant count of professionals from the US and the rest of the world opt to work from home schemes. It would undoubtedly enhance further if the world does not come out of the Covid-19 trap. Hence, it makes sense to discuss the fate of the professionals working from home.
An overview of the Social Security Program
Put in simple words; the Social Security Program is social welfare coverage to support the US’s retired workers. It functions as a common fund, collected from the subscribers. The accumulated fund is utilized to help members who need support. You subscribe to this program when you are younger and working. You will start getting the benefits once you retire from your professional life.
Under the plan, there are benefits for the members and his/her dependents. As such, it is all about preparing for retirement. You work on accumulating a fund to support yourself during your retirement living. Today, it is the most crucial welfare coverage for elderly US citizens. Under this scheme, there are retirement benefits, disability benefits, and the dependents’ and survivors’ benefits.
How to find how much Social Security you will receive?
This program ensures a plethora of benefits during the retired life. But, the value of the interest is not guaranteed. Various factors impact the value in this regard. Your Salary during the working experience, the age at which you subscribe to the plan, and the span of your contribution, along with the credit earned are the factors that set the value of the receivable benefits. As a thumb rule in this regard, you will receive 85% as the Retirement Benefits for every dollar you contribute. The remaining 15% goes to benefit your dependents and survivors.
It would help if you spoke to your financial planner to determine the available benefits under this coverage. Alternatively, you can talk to the SSA officials at a nearby Social Security office location for suggestions and guidance to maximize the benefits. However, it would help if you did not take their word blindly. Even if these officials put their best efforts to help you sincerely, they may not understand your specific circumstances and your plans after retirement.
Thus, you can seek their guidance, eventually deciding the value of the contribution, and setting the time to start getting benefits, based on your aspirations and plans. To enhance the total value of benefits, you should start getting the benefit early, receiving the support for longer spans.
Do work from home workers qualify to get the Social Security Benefit?
Workers working from homes qualify to get the social security benefits under the Disability Coverage, provided they pay their contributions through applicable taxes. Besides, they need to have a continuous Work track record. The Disability ensures that you enjoy a continuous income flow, and it usually includes payments through the SSI, SSDI, or both these schemes. Therefore, get the necessary work done to have the Social Security Card in your pocket before you retire.
What is the eligibility to get payments through SSDI?
To get this benefit, you must pay the premium for the coverage that entitles you to get disability benefits in instances of temporary or permanent disabilities. The coverage is available for work from workers alike. The contributions are made through the taxes you pay based on net annual income.
Workers working for 3rd Party Employees from Home:
In these instances, the Employer will deduct the applicable taxes and contribute in your name. If you enjoy this benefit and stay disabled for 2 years, you will start getting benefits under the Medicare Plan.
Self-employed professionals working from home:
Here, you will require paying the applicable taxes as a self-employed professional. So long your contributions match the minimum requirement for getting the benefit, you will keep receiving the support through this scheme.
To get these benefits, you must have accumulated between 20 and 40 Credits, before catching a disability.
One can accumulate up to 4 credits in a year. It implies that a work from home professional must work for 5 to 10 years, before getting the benefits. Keep in mind that 50% of the total credit must come from the engagement immediately before getting disabled.
How Long Do You Must Work To Collect Social Security?
You keep earning One credit point every year for each 1300 USD earned during that year. To qualify for the benefits, you need to have 20 to 40 credits in your account, keep in mind that there are no fixed minimum year requirements to avail the benefit. What matters is the count of the points that you have accumulated.
Usually, it takes about a decade of work history to qualify for retirement benefits. However, you can expect to get the Disability once you have 20 credits in your account.
Considering the points stated above, you can determine that work from home workers can easily qualify. It immensely protects them in their retired life. So, you must ensure that you are making the necessary contributions through the applicable taxes. Speak to the SSA officials to decide the best benefit schemes to secure your retired life. With this benefit, you get to enjoy your retired life the most, as you keep enjoying a steady and consistent income, even during the retired life. Subscribe to plan right now, if you are yet to do that!
About the Author: Michael is a seasoned writer who loves to write about issues relating to retirement, Medicare, and Social Security. He currently works as a writer for “Social Security Office Near Me“, where he writes about Social Security benefits and issues affecting the senior citizen population.