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Social Security: Paper Statements to Stop Being Mailed


In an effort to "go green" and reduce expenses, the Social Security Administration (SSA) will suspend issuing paper statements outlining your Social Security earnings record and estimated benefits. Tiya Lim, my Right Financial Plan co-author and the director of institutional advisory services with my firm, is my go-to person for Social Security issues, so I asked her to share more details about this decision. Here's what she had to say.

Remember those green and white statements the SSA used to send you every year three months before your birthday? The SSA has decided to stop sending those statements to save some green -- projected savings are $30 million in fiscal year 2011 and $60 million in fiscal year 2012. Anyone with a birthday between July and December won't receive a statement this year.

This move is part of the SSA's shift toward a paperless system. The department has already started moving workers drawing benefits to paperless deposits such as direct deposit or debit cards, rather than paper checks. This move is expected to save $120 million in costs.

Unlike the move to paperless banking, the suspension of statements is expected to be temporary, at least for those over 60. In the meantime, to get benefit information you now have three options:

  • Visit a local field office.
  • Call the Social Security hotline at (800) 772-1213.
  • Visit the Social Security Web site and use the Retirement Estimator.
The online Retirement Estimator will require the following information:
  • Full name
  • Date of birth
  • Social security number
  • Mother's maiden name
  • Place of birth
  • Last year's earnings (if applicable)
Unfortunately, the online estimator will only provide an estimate of benefits. Unlike the old paper statements, you won't be able to retrieve earnings history, or family max or survivor benefit information. In addition, you must have at least 40 credits of work history (approximately 10 years) before you can use the tool.

The SSA plans to resume mailings to individuals age 60 as soon as possible and is working on a more comprehensive online offering once development and security is enhanced.

Photo courtesy of DonkeyHotey on Flickr.
For further reading on Social Security, see the following posts:

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