Readers of my column know that IRA knowledgeable Ed Slott and his colleagues are amongst my main sources on the subject of retirement accounts. It’s their enterprise to be updated on the newest laws, they usually share this experience with their shoppers and with members of the press like me.
Along with his month-to-month experiences concerning retirement accounts, Ed Slott and Co. additionally distributes a month-to-month report masking Social Safety points. These experiences are ready by Heather Schreiber, who’s the founder and president of HLS Retirement Consulting LLC. She has over 30 years expertise within the monetary providers business, and holds the distinguished retirement earnings licensed skilled (RICP) designation from the American Faculty.
As my readers know, I continuously write about Social Safety points, and rely on specialists in Social Safety for the newest info. I’ve discovered Ms. Schreiber to be a consummate skilled, and a really dependable supply for the newest info concerning Social Safety points.
When readers clarify unresolved Social Safety points to me, I talk about these points with dependable Social Safety specialists, together with Ms. Schreiber. She responds shortly with dependable suggestions and backup info. She is the supply for the next replace concerning latest modifications in Social Safety insurance policies and procedures.
In early 2025, the Social Safety Administration (SSA) tasks $800 million in value financial savings and price avoidance for the present fiscal yr. Some financial savings are related to the discount of paper notices, by transitioning to digital SSA 1099 and different varieties, centralized printing, and revising bank card utilization insurance policies.
Nonetheless, in response to the SSA performing commissioner, main value reductions will outcome from a hiring freeze and time beyond regulation reductions. These modifications are anticipated to cut back bills by $550 million within the subsequent yr, and one other $150 million is estimated to come back from a discount in “non-essential” IT contracts and discount in worker journey.
Sadly, the affect of a few of these modifications for you is prone to be longer wait occasions, fewer accessible representatives, and decrease service high quality. It’s potential that accessing SSA assist will probably be more difficult. As well as, latest insurance policies to stop fraud could require you to show your identification in case you are unable to take action utilizing your private Social Safety account.
New subject workplace procedures: As of April, 2025, SSA subject places of work would require “appointments solely” techniques, with restricted accessibility to walk-in visits.
One among SSA’s aims is to enhance safety, which hopefully will result in a discount in fraud. As of March 12, 2025, SSA launched a extra stringent identification verification process, which requires a brand new two-factor authentication course of. If people wish to change their direct deposit info, and they’re unable to satisfy this requirement on-line, they have to go to the sphere workplace to finish the change.
SSA has required almost all company staff to work within the workplace 5 days per week to assist the in-person proofing requirement.
In response to accessibility considerations, SSA has dedicated to processing these in-person updates inside one enterprise day, which, if profitable, could be a big enchancment over the earlier timeline.
Beginning April 15, 2025, people who can not use their “My Social Safety” account to use for advantages will solely must show their identification at an area SSA workplace if making use of for retirement, survivor or auxiliary (partner or youngster) advantages.
Medicare, incapacity and SSI profit purposes are exempt from the “in-person” identity-proofing requirement and will full the method by cellphone.
The elevated reliance on internet-based self-service portals, mixed with ongoing staffing shortages, makes in-person help more difficult to acquire.
Based on Ms. Schreiber, “You should be ready for these new necessities. Have the account established, and turn out to be accustomed to the brand new digital navigation. Early motion is necessary to keep away from administrative delays or disruption to advantages.”
Please proceed to put in writing me if you end up dealing with new issues related to the brand new insurance policies and procedures.
Elliot Raphaelson welcomes your questions and feedback at raphelliot@gmail.com.