PAYMENTS FOR SSA IN 2023

PAYMENTS FOR SSA IN 2023

Payment Schedule for Social Security Benefits 2023
Social Security users will soon get the largest boost in benefits since 1981, with the pension program scheduled to give an 8.7% cost-of-living increase in 2023.

According to the Social Security Administration, the annual cost-of-living adjustment, or COLA, begins with December benefits but will reach the majority of participants in January 2023. With the hike, the average benefit check will grow by more than $140 to $1,827 per month, up from $1,681 in 2022.

The Social Security Administration increases payouts yearly depending on inflation, which has reached its highest level in four decades this year. Seniors lost buying power this year since the 5.9% they earned in 2022 is well below this:

The cost-of-living adjustment for the pension program, which will be 8.7% in 2023, will provide Social Security retirees with their largest benefit increase since 1981.

Although the annual cost-of-living adjustment, or COLA, starts with December benefits, most beneficiaries will not begin receiving those payments until January 2023, according to the Social Security Administration.

As a consequence of the rise from the normal benefit of $1,681 in 2022, the average benefit check will climb by more than $140 to $1,827 per month.

The Social Security Administration adjusts payouts annually to account for inflation, which has hit all-time highs in recent years.

Seniors’ buying power declined this year due to the 5.9% price rise they would get in 2022 being much less than this year’s price increase.
[11:23, 24/12/2022] HSBC StoryWorks, Baba Mogesi StoryWorks by HSBC.

HSBC Bank Home PAID AND PRESENTED

PLAYING WITH NUMBERS: AMERICAN SSN AND CREDIT SCORE
The epidemic of COVID-19 has had a severe influence on travel and immigration to the United States. For the most up-to-date information and links to authoritative sources, please see this page.

Most individuals who relocate to the United States rightly prioritize big-picture concerns such as acquiring a visa, finding work, and securing housing.
While they are unquestionably significant, they are far from the whole picture when it comes to establishing a new life abroad.

Obtaining a Social Security Number and establishing a credit history are two crucial if lesser-known, considerations.

101 CREDIT SCORE: PAYMENTS FOR SSA IN 2023

 

All non-citizens must have a Social Security Number.
[11:26, 24/12/2022] Mogesi, Baba: The cost-of-living adjustment for the pension program, which will be 8.7% in 2023, will provide Social Security retirees with their largest benefit increase since 1981.

Although the annual cost-of-living adjustment, or COLA, starts with December benefits, most beneficiaries will not begin receiving those payments until January 2023, according to the Social Security Administration.

As a consequence of the rise from the normal benefit of $1,681 in 2022, the average benefit check will climb by more than $140 to $1,827 per month.

The Social Security Administration adjusts payouts annually to account for inflation, which has hit all-time highs in recent years.

Seniors’ buying power declined this year due to the 5.9% price rise they would get in 2022 being much less than this year’s price increase.

StoryWorks by HSBC; HSBC Bank Home PAID AND PRESENTED

All non-citizens working in the United States must have a Social Security Number, and having one makes it simpler to apply for bank accounts, loans, and government services.

Meanwhile, many new immigrants discover that they can’t simply rent an apartment or receive loans since they don’t have a credit history in the United States.

Fortunately, these two crucial components of your financial life in the United States go hand in hand and can be created pretty fast.

Number of Social Security

A Social Security Number, or SSN, is a nine-digit number that is issued to each US citizen at birth. Non-citizens permitted to work in the United States by the Department of Homeland Security (DHS) must also have one.

The number is used by the government to record your salary and assess your eligibility for Social Security, a national insurance program that provides retirement, survivor, and disability benefits.

SSNs are also used as de facto national IDs and are required by a variety of organizations, including banks and creditors.

Applying for a Social Security Number is free, and you may do it before or after your move.

Apply in your native nation concurrently with your immigrant visa application to the US Department of State. Within three weeks of your arrival in the United States, your Social Security Card will be mailed to you.

Applying information can be found here.

Alternatively: you may apply in person at your local Social Security Office after you arrive in the United States: A list of offices in each state may be found here.

It is suggested that you wait at least 10 days after arriving in the United States — this makes it simpler for the DHS to check your documentation and speeds up processing.

You can see a list of the papers you’ll need to bring with you to apply here.

Once you have your SSN, you may go on to another typical challenge for newcomers: establishing credit.

Before leaving your native country, you should acquire your credit history from your bank or credit agency. Unfortunately, the credit you’ve developed in your native country may not transfer to the United States, and you’ll most likely have to start again once you arrive.

Fortunately, it doesn’t take long—the most common sort of credit score in the United States is a FICO score, which you may get after having an account open and active for six months.

Your credit score is a ranking that tells prospective lenders how trustworthy you are. It is calculated by your credit history at one of the three main credit agencies in the United States: TransUnion, Equifax, and Experian.

Each keeps track of your current and previous accounts, how much you owe on each, and your track record of timely payments.

Credit scores vary from 300 (the lowest) to 850 (the best) (the highest). A better score indicates that you are a lower-risk borrower with a track record of appropriate credit utilization.

Higher credit scores increase the likelihood of loan approval and lower interest rates.

That implies that having a high credit score might save you a lot of money through a loan. Employers in certain places may also use your credit report to make hiring choices;

however, 16 cities and states, including California, New York City, and Chicago, have rules that rigorously restrict the collection and use of this information.

So, how does a novice establish credit? Begin small, with just one line of credit; your best chance is to apply for a secured credit card at your local bank or credit union. Because these cards are secured by cash in your bank account, they are simple to get even if you have a poor credit history.

You may also use an existing bank connection to your advantage:

if you have an overseas credit card, contact them to see if they can convert it to a US credit card.

Another alternative is to get a modest loan from a local bank. You’ll most certainly pay a high-interest rate, but regular payments will swiftly establish your credit history.

It’s critical to utilize your account responsibly after you’ve opened it.

Your payment history, credit utilization ratio, and length of credit history are the three most important factors in determining your credit score.

These three factors account for 80% of your FICO score, so make sure they’re all set (Source).

Payment History:

Your payment history is the most important factor in determining your credit score. Because late payments and delinquent accounts lower your credit score, it’s critical to establish a spotless track record of on-time payments. Setting up automatic payments will help you stay on top of your expenses in no time.

Credit Utilization Ratio:

The balance-to-limit ratio, or the percentage of total credit utilized on any one account. Maintaining this ratio below 30% can help your credit score. Carry less than a $300 amount on a credit card with a $1,000 limit, for example. Using more than 30% credit on any one account might indicate financial difficulty. To maintain optimum use, you may pay down your amount or request a credit limit increase from your credit card provider.

Credit History Length:

The longer your accounts have been open, the better your credit score will be.

Here’s a checklist to help you remember what you need to do and when you need to do it when it comes to obtaining a Social Security number and developing an American credit score.

TWELVE MONTHS

Use these procedures to apply for your Social Security Number at the same time you apply for your immigrant visa. (You may also apply for an SSN after you arrive in the United States.)

SIX MONTHS

Call your bank and request that your credit card be converted into a US credit card. This is generally simpler than applying for a new card, and you may be able to start establishing credit before you move.

 

THREE MONTHS

Contact your bank or credit reporting agency and get credit references such as account terms and payment history. While not all American lenders accept international credit references, they may be able to assist you in obtaining modest loans and secured credit cards.

 

ONE MONTH

Gather the following documents to apply for credit cards or loans in the United States: Identification from the government, a credit history, bank statements, and proof of income (typically a current pay stub or tax return). As a backup, scan documents.

Obtain the Bank Identifier or SWIFT code for your current bank account. When you arrive, you will be able to transfer funds from your home account to your U.S. account.

This article was commissioned by HSBC.

The author’s thoughts and opinions are his or her own and do not necessarily represent those of HSBC.

 

HSBC Bank PAID AND PRESENTED
MOVING TO A NEW COUNTRY CAN BE DIFFICULT, BUT HSBC IS HERE TO ASSIST.
As an international bank, HSBC can assist you in planning your transfer – and your financial future in the United States. We’re here to help you every step of the way, from opening a bank account before your move to remaining connected with a SIM card after you arrive.

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