Molly Janczyk and Tom Cooper: A dialogue on Social Security and pension offset

Tom Cooper to Molly Janczyk, February 6, 2007
Subject: Re: FW: Shirlee & Dennis and a view on Medicare Questions

(Responding to questions from Molly)

1.Are you 62 receiving early benefits vs. waiting to 65 for full benefits?

1. Actually, I wrote to Mr. Paukovich in Oct '06, when I was 62, but I turned 63 in Nov. Mr. Paukovich urged me to apply in Oct, which I did, as although my benefit at age 63 would be more, in his estimation, it would not be worth more than the extra month at age 63. As it turned out he was correct, as it would have only been $1 more per month when I turned 63. It would have taken me at least two years at $1 more per month to make up for that one October '06 payment. At my (our) age, I avoid counting on the realization of long term gains. So, yes, I saw no reason to wait until November, let alone until age 65. I am currently using that monthly payment to invest at around 9-12%.

2. Is your STRS pension offset by $200?

No. and I specifically asked this of the SS rep who handled my meeting and my account.

3. Is this what you would receive without being 62 or 65 and combining the Soc Sec and STRS for your monthly income?

I'm not sure I understand that question. I retired from teaching in 2000 at the age of 57. I didn't ot become interested in Soc Sec until I read Mr. Paukovich's column (at age 62). However, as I also mentioned, I have been receiving annual statements from SS for several years. Each years statements always showed an increase in benefits from the year before, BUT, I also continued to work part time at jobs which deducted FICA, so I am not sure about the details of my statements.

4. Do you have special circumstances of any kind, like armed services, etc.?

As I mentioned in my original suggestion that everyone who has quarters to make an appointment, I am not sure as to what allows my benefits, but, as I mentioned, yes, I was in the US Army for 4 years BEFORE becoming a teacher, AND, I also believe I may have actually accrued 40 Qtrs BEFORE I become a teacher, as I did not become a teacher until I was 26, and, besides my military service, worked summers AND worked FULLTIME while I was finishing my degree, AGAIN, before I started teaching.

Again, while my circumstances don't fit everyone who is a teacher, I had two financial "experts" whom I know personally and trust implicitly tell me I would have my STRS reduced by the amount I received from SS. Do your self a favor and make an appointment with a SS representative.

TC

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From Molly Janczyk, February 6, 2007
Subject: Re: FW: Shirlee & Dennis and a view on Medicare Questions

Tom,

1.Are you 62 receiving early benefits vs. waiting to 65 for full benefits?
2. Is your STRS pension offset by $200?
3. Is this what you would receive without being 62 or 65 and combining the Soc Sec and STRS for your monthly income.
4. Do you have special circumstances of any kind, like armed services, etc.?

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Tom Cooper to Molly Janczyk, February 6, 2007
Subject: Re: FW: Shirlee & Dennis and a view on Medicare Questions

RE:...I was told by some who have credits that the only sure way to know your benefits is to visit Soc. Sec. vs. phone calls. Tom Cooper was one with this suggestion as phone answers varied.

That is correct. I, like almost every teacher I know, ASUMED that I was not able to collect ANY benefit check or other benefits from SS, due to the fact that I was collecting full retirement from STRS.

HOWEVER!...I happened across a column in the ABJ that proved that concept is not always the case. If I can find the original article and/or letter I wrote to the author, I will. But..the point is, the article I read WAS similar to my own circumstances, (though I think the man who wrote to Joe was collecting a pension from SERS), so I wrote and asked about my circumstances, and he felt I was entitled to partial benefits, and that I should make an appointment, which I did. I am now receiving over $200 from SS each month. Not a lot, but certainly more than ZERO!...Also, please allow me to note, I am NOT yet 65

For now, here two points:
1. The column I read is a REGULAR column in the ABJ. It is written by Joe Paukovich, and the title of his weekly column is "On Social Security". Joe Paukovich actually works for SS.

2. As I stated before, it is easy to make an appointment, and especially IF you think you may have 40 qtrs, and or, you are getting annual statements from SS which shows the years you paid into SS, and also shows the projected amount you will receive at retirement, then you absolutely should make an appointment. you will need Social Security card/number, AND your last STRS pay stub AND a statement from STRS showing that you are retired and what your STRS benefit was the first month/year you retired.

By the way, Joe Paukovich's column was just in the ABJ yesterday. It is the "Your Business Solutions" section, page D-3, at teh top of the page. You can also read it on line by going to Ohio.com, which is he ABJ web site and Type "Joe Paukovich" into the search box.

I briefly checked the "Archives" and there only two articles that come up. I think you can find archive other articles, but have to pay a fee.

But..if you have specific questions, and have your details, facts and figures together, Joe Paukovich's e-mail is Joseph.Paukovich@ssa.gov (NOTE that there is a period between the name Joseph and Paukovich)

TC

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From Molly Janczyk, Feb. 6, 1007
Subject: Re: FW: Shirlee & Dennis and a view on Medicare Questions
In addition, I was told by some who have credits that the only sure way to know your benefits is to visit Soc. Sec. vs. phone calls. Tom Cooper was one with this suggestion as phone answers varied. Others said every case varies. Shirlee has more experience with Soc. Sec. than many of us.