{"id":212066,"date":"2021-08-09T18:40:31","date_gmt":"2021-08-09T18:40:31","guid":{"rendered":"https:\/\/fidelitylife.com\/?p=212066"},"modified":"2021-08-09T18:40:31","modified_gmt":"2021-08-09T18:40:31","slug":"does-life-insurance-affect-social-security-benefits","status":"publish","type":"post","link":"https:\/\/staging03.wordpress.fidelitylife.com\/?p=212066","title":{"rendered":"Does Social Security affect life insurance?"},"content":{"rendered":"

About 65 million Americans each month receive benefits from the Social\u00a0Security\u00a0Administration<\/a>. While many people think of the benefits program for retirees when they hear \u201cSocial Security,\u201d the agency also provides benefits to millions of people with disabilities, surviving spouses, and their dependents each month.<\/p>\n

Some Social Security programs require you to have limited financial resources to qualify for benefits. In some cases, life insurance may count toward that overall limit. Knowing the rules can help you maximize your public benefits while still protecting your family financially with througha life insurance plan.<\/p>\n

Are you or a loved one receiving Social Security benefits and concerned about how life insurance could affect your eligibility? Here\u2019s what to know.<\/p>\n

Does life insurance affect social security benefits?<\/h2>\n

Retirement benefits through the Social Security Administration<\/a>, which you can receive beginning at age 62, aren\u2019t impacted by your life insurance or most other assets. Since you put a portion of your paycheck toward Social Security benefits while you\u2019re working, you\u2019re entitled to them later, regardless of your overall financial resources. The size of your monthly payment is based on how much you earned<\/a> while you were working and the age you are when you begin collecting them. As of 2020, the average monthly benefit for retired workers was $1,544<\/a>.<\/p>\n

SSI and disability benefits<\/h2>\n

However, Supplemental Security Income<\/a>, another program from the Social Security Administration, has different rules. Supplemental Security Income provides monthly payments to Americans who are 65 or older, blind, or have a disability. If you\u2019re an adult, the Social Security Administration considers a \u201cdisability\u201d to be a physical or mental impairment that can be expected to lead to death, makes you unable to perform any substantial activity, or has lasted or is expected to last for at least 12 months.<\/p>\n

There are 7.8 million people receiving Supplemental Security Income as of May 2021<\/a>. You can receive up to $794 as an individual or $1,191 as a couple<\/a> through the program.<\/p>\n

How to qualify for SSI<\/h2>\n

To qualify for Supplemental Security Income, you need to prove that you have limited income and resources<\/a>. Income includes:<\/p>\n