Cost-of-Living Adjustment (COLA):
| Based on the increase in the Consumer Price Index (CPI-W)
from the third quarter of 2002 through the third quarter of 2003,
Social Security and Supplemental Security Income (SSI) beneficiaries
will receive a 2.1 percent COLA for 2004. Other
important 2004 Social Security information is as follows: |
|
| Tax
Rate |
2003 |
2004 |
| Employee |
7.65% |
7.65% |
| Self-Employed |
15.30% |
15.30% |
NOTE:
The 7.65% tax rate is the combined rate for Social Security and
Medicare. The Social Security portion (OASDI) is 6.20% on earnings
up to the applicable taxable maximum amount (see below). The Medicare
portion (HI) is 1.45% on all earnings. |
| Maximum Earnings Taxable: |
2003 |
2004 |
| |
$87,000 |
$87,900 |
| Medicare (HI only) |
No
Limit |
| Retirement Earnings Test Exempt Amounts: |
2003 |
2004 |
| Under full retirement age
NOTE: One dollar in benefits will
be withheld for every $2 in earnings above the limit. |
$11,520/yr.
($960/mo.) |
$11,640/yr..
($970/mo.) |
The year an individual reaches full retirement age
NOTE: Applies only to earnings for months prior to attaining full retirement age. One dollar in benefits will be withheld for every $3 in earnings above the limit. |
$30,720/yr.
($2,560/mo.) |
$31,080/yr.
($2,590/mo.) |
| There is no limit on earnings beginning the month an individual attains full retirement age (65 and 2 months for retirees born in 1938; 65 and 4 months for those born in 1939). |
| Social Security Disability Thresholds: |
2003 |
2004 |
| Substantial Gainful Activity (SGA) |
Non-Blind |
$ 800/mo. |
$ 810/mo. |
| Blind |
$1,330/mo. |
$1,350/mo. |
| Trial Work Period (TWP) |
$ 570/mo. |
$ 580/mo. |
Maximum Social Security Benefit:
Worker Retiring at Full Retirement Age in |
2003
|
2004
|
| NOTE: For retirees born in 1938, full retirement age is 65 and 2 months; for those born in 1939, it is 65 and 4 months. Full retirement age will gradually increase to age 67 for those born in 1960 or later. |
$1,741/mo.
(Age 65 and 2 months)
|
$1,825/mo.
(Age 65 and 4 months)
|
| SSI Resources Limits: |
2003 |
2004 |
| Individual |
$2,000 |
$2,000 |
| Couple |
$3,000 |
$3,000 |
| Estimated Average Monthly Social Security Benefits Payable in January 2004: |
Before
2.1% COLA |
After
2.1% COLA |
| All Retired Workers |
$ 903 |
$ 922 |
| Aged Couple, Both Receiving Benefits |
$1,492 |
$1,523 |
| Widowed Mother and Two Children |
$1,865 |
$1,904 |
| Aged Widow(er) Alone |
$ 870 |
$ 888 |
| Disabled Worker, Spouse and
One or More Children |
$1,412 |
$1,442 |
| All Disabled Workers |
$ 844 |
$ 862 |
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