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USA Today
8 hours ago
- Business
- USA Today
No more paper checks: Social Security moving to 100% electronic payments this fall
The Social Security Administration is transitioning away from paper checks. Later this year, only electronic payments will be used for benefit payments, the agency announced July 14 as part of an effort to modernize its systems and improve service delivery. "By moving to electronic payments exclusively, we aim to improve efficiency, security, and ensure beneficiaries receive their monthly benefits promptly," the agency wrote in a blog post. Less than 1% of beneficiaries have not yet switched to electronic payment methods and still receive paper checks, according to the SSA. The agency is urging those to enroll in either direct deposit or use the Direct Express card before the late September deadline in order to receiving their monthly benefits on time. Those who still receive paper checks will be sent notices to transition as well as instructions on how to transition on all benefit checks, the SSA said. Social Security change coming in July: Agency begins taking back 50% of overpayments When will paper checks no longer be an option? Starting Sept. 30, 2025, the Social Security Administration will stop issuing paper checks for benefit payments. All beneficiaries will be required to switch to electronic payments. Social Security: When do you get your payment for July? See schedule Why the change? The SSA said the switch from paper checks to electronic payments will minimize delays in payments and reduce the risk of fraud. Citing the U.S. Department of the Treasury, the SSA said electronic payments cost roughly 35 cents less than paper checks, essentially saving the federal government millions of dollars annually. The agency added that the transition will provide a safer and more secure method to receive benefits, saying paper checks are 16 times more likely to be either lost or stolen. How to switch to electronic payments Social Security beneficiaries can switch from paper checks to electronic payments online through their personal my Social Security account. The agency has technicians available to support those who need tech support Monday through Friday from 7:30 a.m. until 4 p.m. ET. Another Social Security payment coming in July As soon as late July, some beneficiaries who have been overpaid could have their monthly Social Security benefits cut in half. The SSA announced in April that it would begin withholding 50% of benefit payments to overpaid recipients. That marked a partial backtrack from the month prior, when the agency revealed plans to withhold all of a recipient's benefit until their overpayment was recouped. Previously, the agency had been withholding only 10% of a recipient's benefits to recover overpayments. The SSA had lowered the recovery rate to that level after negative media coverage in 2023 about the agency's collection process, reporting how some had lost their homes after benefits were cut off to make up an overpayment. "Innocent people can be badly hurt," then-Social Security chief Martin O'Malley said, according to the Detroit Free Press, part of the USA TODAY Network. Contributing: Mike Snider, USA TODAY
Newsweek
15 hours ago
- Business
- Newsweek
Social Security Update: Major Change for Benefit Recipients
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. The Social Security Administration (SSA) has announced a significant upgrade for millions of Americans: The My Social Security online portal will offer 24/7 access starting mid-July. The change marks a major improvement in customer service, allowing beneficiaries and applicants to manage their Social Security accounts at any time, day or night. Why It Matters Social Security remains a critical pillar for more than 60 million Americans, whose financial security often depends on timely access to the program's resources. Until now, the online portal has experienced scheduled downtimes, limiting access for retirees and those seeking to manage their benefits or documentation. This shift to uninterrupted access comes amid mounting financial pressures on the Social Security system and broader concerns about the program's sustainability, particularly as the trust fund's money for full payments is set to run out within the next decade without legislative intervention. What To Know The revamped My Social Security portal is designed to give both beneficiaries and non-beneficiaries around-the-clock access to their accounts. Through the portal, users can request replacement Social Security cards, upload documents, submit online forms, and manage critical features such as direct deposit information, tax forms, and benefit verification letters. Non-beneficiaries can also check application statuses and access personalized estimates of their or their spouse's benefits, according to the SSA. "My top priority is to transform SSA into a model of excellence—an organization that operates at peak efficiency and delivers outstanding service to every American," SSA Commissioner Frank Bisignano said in a statement. A Social Security Administration (SSA) office in Washington, D.C. A Social Security Administration (SSA) office in Washington, D.C. SAUL LOEB/AFP via Getty Images This initiative is part of a larger overhaul at the SSA aimed at addressing long-standing issues, such as backlogs and lengthy wait times, which have been exacerbated by the growing number of baby boomer retirees. Beyond the online upgrade, SSA reports that 70 percent of its field offices have new phone technology, the answering speed for its 800-number has improved by 35 percent, and 90 percent of calls can now be handled through self-service or with a convenient callback feature. "Currently, there are late-night and weekend hours when the portal is closed. Many elderly beneficiaries rely on family or service providers to make online updates, so the expanded service hours will only help those who are helping our seniors," Drew Powers, the founder of Illinois-based Powers Financial Group, told Newsweek. What People Are Saying Martha Shedden, president and co-founder of the National Association of Registered Social Security Analysts, told Newsweek: "We welcome any improvements SSA makes to customer service, particularly phone service wait times and field office staffing increases. The web portal plays a significant role in customer service." Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, told Newsweek: "The online portal reflects an evolving form of connecting with beneficiaries centered on more efficiency and modernness. The Social Security Administration, much like other government entities, has long been the subject of mixed feedback from beneficiaries who struggle with issues of applying for benefits, receiving them, and everything in between." Kevin Thompson, the CEO of 9i Capital Group and the host of the 9innings podcast, told Newsweek: "Now, anytime there's a tech upgrade in the Social Security system, I'll call that a win. But let's be real; most retirees probably won't notice a huge difference. Many still prefer the phone or that personal touch. That said, improvements to the phone system will help save time and still give folks that human connection if they need it." What Happens Next The SSA's portal upgrade is scheduled to go live in mid-July, providing uninterrupted service nationwide. Officials say this move is intended to help meet the needs of current and future beneficiaries as the agency also faces broader questions about the solvency of Social Security before the projected trust fund depletion in 2033. "The hope is this new portal will remedy some of those problems, but in terms of effectiveness and its appeal to non-digitally literate recipients, it remains to be seen if benefits will outweigh any issues," Beene said.
Yahoo
20 hours ago
- Business
- Yahoo
Here's the Average Social Security Benefit at Ages 62, 66, and 70 as of June 2025
Retirees are eligible for Social Security at age 62, but the age at which benefits start has a profound impact on the amount of benefit income they receive. The average Social Security benefit for retired workers at age 70 exceeds the average benefit at age 62 by about $811 per month and $9,726 per year. Retired workers born in 1960 or later can increase their benefit 77% by simply claiming Social Security at age 70 rather than age 62. The $23,760 Social Security bonus most retirees completely overlook › The best age to start Social Security depends on personal circumstances, but retirees cannot make a prudent decision without first understanding how claim age factors into the equation. We can explore that topic by examining the average Social Security benefit paid to retired workers at different ages. Read on to learn more. Social Security accounts for approximately 22% of government spending, so the Social Security Administration (SSA) regularly publishes anonymized benefit data to ensure transparency and improve public understanding. That following table pulls information from a biannual report. It shows the average benefit paid to retired workers at different ages as of June 2025. Retired Worker Age Average Monthly Benefit Average Annual Benefit 62 $1,377 $16,524 63 $1,392 $16,705 64 $1,447 $17,369 65 $1,613 $19,355 66 $1,809 $21,705 67 $1,963 $23,552 68 $2,004 $24,045 69 $2,052 $24,629 70 $2,188 $26,250 Data source: Social Security Administration. Average benefit amounts have been rounded to the nearest dollar. The chart makes it clear that Social Security payments tend to be bigger for older retirees. The discrepancy between the average benefit at 62 (the earliest possible claim age) and 70 (the oldest sensible claim age) is about $811 per month, or $9,726 per year. And the average retired-worker benefit at 66 is somewhere in the middle: It's about $379 less than the average monthly benefit at 70, but $432 more than the average monthly benefit at 62. The SSA considers several variables when calculating benefits, but differences in claim age are the primary reason payments tend to be larger for older retirees. All else equal, retirees that claim benefits at age 62 will get the smallest possible payout, while retirees that start Social Security at age 70 will receive the largest possible payout. Here's how the Social Security Administration determines retired-worker benefits: First, earnings from your 35 highest-paid years of work are indexed to account for changes in the average wage over time. Second, indexed earnings are converted to monthly average called the average indexed monthly earnings (AIME) amount. Third, AIME is run through a formula to find the primary insurance amount (PIA), the benefit a retired worker will receive if starting Social Security at full retirement age (FRA). Fourth, the PIA is adjusted for early or delayed retirement as follows: Workers who claim Social Security before FRA get a smaller payout, meaning they receive less than 100% of their PIA. The precise reduction depends on how many months early Social Security starts, but no one can claim retirement benefits earlier than 62. Workers who delay Social Security beyond FRA get a larger payout, meaning they receive more than 100% of their PIA. The precise increase depends on how many months late Social Security starts, but there is no advantage to claiming after 70. The following table shows the relationship between birth year and FRA. It shows the retirement benefit (as a percentage of PIA) a worker will receive if starting Social Security at 62 and 70. In other words, it details the smallest and largest payout for each FRA group. Birth Year Full Retirement Age Benefit at Age 62 Benefit at Age 70 1943-1954 66 75% 132% 1955 66 and 2 months 74.2% 130.6% 1956 66 and 4 months 73.3% 129.3% 1957 66 and 6 months 72.5% 128% 1958 66 and 8 months 71.7% 126.6% 1959 66 and 10 months 70.8% 125.3% 1960 and later 67 70% 124% Data source: The Social Security Administration. Importantly, the average Social Security benefit tends to increase over time because of inflation and changes in average wages. For instance, the average monthly retired-worker benefit at age 70 is currently $2,188, but it was $1,612 in June 2020. That means the average 70-year-old retiree receives an additional $576 per month today. I mention that because some readers may not start Social Security for several years, and the average payouts will likely be higher at that point. However, the percentages shown in the chart above will not change. That means a retired worker born in 1960 can increase his or her benefit 77% by simply claiming Social Security at age 70 rather than age 62. How did I come up with that figure? I divided 124 by 70. In other words, I divided the largest possible payout (expressed as a percentage of the PIA) by the smallest possible payout (expressed as a percentage of the PIA). The answer is about 77. If you're like most Americans, you're a few years (or more) behind on your retirement savings. But a handful of little-known could help ensure a boost in your retirement income. One easy trick could pay you as much as $23,760 more... each year! Once you learn how to maximize your Social Security benefits, we think you could retire confidently with the peace of mind we're all after. Join Stock Advisor to learn more about these Motley Fool has a disclosure policy. 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Leaders
21 hours ago
- Science
- Leaders
Arab Students Make History as Space Experiments Return from ISS
The Saudi Space Agency (SSA) announced on Tuesday the successful execution and safe return of scientific experiments conducted in microgravity by 10 student winners from Saudi Arabia and several Arab countries, as part of the 'Space Madak' competition. This pioneering initiative aimed to empower youth across the Arab world by enabling them to carry out space-based experiments that combine the disciplines of art, engineering, and plant science. Pioneering Initiative Launched in partnership with the Mohammed bin Salman Foundation (Misk) and the Ilmi Center for Science Discovery and Innovation, a Misk affiliate, the competition aimed to foster Arab creativity and inspire deeper engagement with the future of space exploration. The mission featured 10 diverse student-led experiments, including scientific research and creative projects, submitted by students from Saudi Arabia and other Arab nations. The experiments were carried out aboard the International Space Station (ISS) and returned to Earth following the conclusion of the AX-4 mission. The selected projects underwent rigorous scientific and artistic evaluation by experts from the Kingdom and abroad. Selection criteria included the quality of the idea, feasibility in a space environment, and potential to inspire future innovation. Conducting the Experiments Veteran astronaut Peggy Whitson conducted the experiments during her stay aboard the ISS, under the direct supervision of Saudi astronaut Rayyanah Barnawi and with technical oversight from the Saudi Space Agency's scientific teams. Barnawi, the first Saudi female astronaut, has previously conducted 14 experiments aboard the ISS as part of her mission. 'Space Madak,' the first competition of its kind in the Arab world, significantly enhanced student engagement in the space sector. Through its three tracks — arts, plants, and engineering — the competition offered educational and practical opportunities that support the development of national and regional scientific capabilities. Over 80,000 students from across the Arab world participated in the competition, showcasing a wide range of innovative ideas. Impact and Future Goals The SSA confirmed the success of the scientific experiments conducted by Arab students aboard the ISS. These experiments included projects in the fields of art, engineering, and plant science, which astronaut Peggy Whitson conducted under the supervision of Rayyanah Barnawi. The project aimed to enhance student participation in the space sector and promote innovation in the Arab world. This achievement is part of the Saudi Space Agency's efforts to enhance the Kingdom's presence in international space programs and provide a stimulating environment that contributes to supporting the knowledge economy, in line with the goals of Vision 2030. The successful return of these experiments marks a significant milestone in Arab space exploration. It underscores Saudi Arabia's commitment to scientific innovation and developing emerging talent in the growing field of space sciences. Additionally, the mission aligns with the goals of Saudi Vision 2030, which seeks to prepare a new generation to contribute effectively to the future of the space sector and drive the country's scientific and technological progress. Short link : Post Views: 51
Leaders
21 hours ago
- Science
- Leaders
SSA Celebrates Milestone as ‘Madak Space' Experiments Return Safely from ISS
The Saudi Space Agency(SSA) has announced the successful completion and safe return of student-led experiments conducted aboard the International Space Station (ISS) through the groundbreaking 'Madak Space' competition. Ten winning projects, created by students from Saudi Arabia and across the Arab world, were part of this milestone effort and returned to Earth following the conclusion of the AX-4 mission. SSA, Madak Space 'Madak Space' was launched in collaboration with the Mohammed bin Salman Foundation (Misk) and the Science Discovery and Innovation Center (ilmi), a Misk affiliate. The initiative also aimed to inspire and empower youth by offering them the opportunity to conduct innovative experiments in microgravity. By integrating the fields of art, engineering, and plant sciences, the program fostered a deeper connection between Arab creativity and the future of space exploration. ISS The mission featured ten unique student-led experiments spanning scientific research and artistic expression. Students from across the Arab world submitted proposals, which were carefully evaluated by a panel of national and international experts. Additionally, projects were selected based on their scientific merit, feasibility in the space environment, and potential to inspire both scientific advancement and creative innovation. Renowned astronaut Peggy Whitson carried out the experiments on the ISS, with direct supervision from Saudi astronaut Rayyanah Barnawi. Moreover, technical oversight was provided by scientific teams from the Saudi Space Agency, ensuring the experiments were conducted safely and effectively. As the first competition of its kind in the Arab world, 'Madak Space' represents a major step forward in engaging students in the space sector. The competition welcomed submissions in three tracks—arts, plants, and engineering—and provided participants with both educational and hands-on opportunities. Through this pioneering effort, the Saudi Space Agency aims to nurture a new generation of Arab researchers, engineers, and creative innovators. Related Topics : 'Beyond Earth: Journeys to the Star': Saudi Space Agency, NASA Discuss Space Exploration Saudi Capital Market's Operating Systems Deemed Secure amid Global IT Outage Neo Space Group Wins Permit for EO Space Platform Service Short link : Post Views: 23
