HOW DOES ONE QUALIFY FOR BENEFITS?
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As you work and
pay taxes, you earn credits that qualify you to receive Social Security
benefits. Your wages are posted to your Social Security record, and you
receive Social Security credits based on those wages. The credits you
earn remain on your Social Security record if you change jobs or don't work for
a while. | |
Each credit gives you one quarter (three months) of
coverage. Quarters of coverage are determined by your wages. The
amount needed for a quarter of coverage changes each year. You can earn up
to four credits each year. Most people (those born after 1929) need 40 credits
(10 years of work) to qualify for benefits. The amount you need to earn a
credit tends to go up each year. The amount of credits you need to get
Social Security benefits depends on your age and the type of benefit you are
applying for.
Certain professionals earn credits at different rates than
regular employees. Some of these include the following:
- Farmers
- Domestic workers
- Church workers
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If you are self-employed or work in the military, you earn
credits the same way as regular employees. Military workers may be able to
earn extra credits. If you work for a nonprofit organization, you may be
able to get benefits with fewer credits.
For complete details on credit requirements, contact the Social
Security Administration.
Now that you understand how you earn credits, let's see
what happens to the money you pay in Social Security
taxes.
