![]() "I’m sure most people do not realize that they automatically will benefit from next year’s COLA - even if they have not yet filed for Social Security - as long as they are at least 62 or older in 2022," said Franklin, who wrote "Maximizing Social Security Benefits," an online book that is available for $29.95 at. “I worry that some people may rush to claim Social Security this year to benefit from the exceptionally large cost-of-living adjustment expected next January," Franklin told me by email. Her take is that anyone who is age 62 or older in 2022 and who is eligible for Social Security will profit from next year’s COLA - even if they have not yet filed for benefits. If you have medical expenses, you may deduct only the amount that’s above 5% of your MAPR amount ($1,050 for a Veteran with 1 dependent).Mary Beth Franklin, a renowned author specializing in unraveling Social Security intricacies, says she has heard some financial planners wonder whether it's a good time to claim benefits now to lock in that eye-catching cost-of-living adjustment.Īnd she uncovered something most people don't know.If you have a child who works, you may exclude their wages up to $13,850.If you have more than one dependent, add $2,743 to your MAPR amount for each additional dependent.So you would be eligible for Veterans Pension benefits. This is less than the net worth limit of $150,538. If you had $121,000 in assets and $14,000 in annual income, then your net worth would be $135,000. Read more about how we define “annual income” An example of net worth and eligibility According to the Social Security Administration (SSA), 62 of current retirees lean on the program to account for at least half their monthly income. Medical expenses you’re not reimbursed for For tens of millions of Americans, there isn’t a program that bears more importance to their financial well-being than Social Security.We call these applicable deductible expenses. They include: We’ll subtract certain expenses from your annual income when we assess net worth. Read more about how we define “assets” Annual incomeĪnnual income is the money earned in a year from a job or from retirement or annuity payments. Basic home items like appliances that you wouldn’t take with you if you moved to a new house.Your primary residence (the home where you live most or all of the time).Your personal property assets include any of these items: “Real property” means any land and buildings you may own. Note: If your child's net worth is more than the net worth limit, we don't consider them to be a dependent when we determine your pension.Īssets include the fair market value of all your real and personal property, minus the amount of any mortgages you may have. When you apply for Veterans Pension benefits, you’ll need to report all of these assets and income. Net worth includes your and your spouse’s assets and annual income. ![]() On October 18, 2018, we changed the way we assess net worth to make the pension entitlement rules clearer. Your VA pension = $21,714 for the year (or $1,809 paid each month)įrom December 1, 2022, to November 30, 2023, the net worth limit to be eligible for Veterans Pension benefits is $150,538. You and your spouse have a combined yearly income of $10,000. You also qualify for Aid and Attendance benefits based on your disabilities. ![]() You can find your current MAPR amount using the tables below.Įxample: You’re a qualified Veteran with a dependent, non-Veteran spouse and no children. MAPRs are adjusted each year for cost-of-living increases. Your MAPR is based on how many dependents you have, if you’re married to another Veteran who qualifies for a pension, and if your disabilities qualify you for Housebound or Aid and Attendance benefits. Your MAPR amount is the maximum amount of pension payable. Some expenses, like non-reimbursable medical expenses (medical expenses not covered by your insurance provider), may reduce your countable income. Your countable income is how much you earn, including your Social Security benefits, investment and retirement payments, and any income your dependents receive. ![]()
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