{"id":37690,"date":"2025-01-20T07:36:12","date_gmt":"2025-01-20T07:36:12","guid":{"rendered":"https:\/\/peraltafinancing.com\/business\/finance\/dave-ramsey-bluntly-speaks-on-social-security-worries-and-work\/"},"modified":"2025-01-20T07:36:12","modified_gmt":"2025-01-20T07:36:12","slug":"dave-ramsey-bluntly-speaks-on-social-security-worries-and-work","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=37690","title":{"rendered":"Dave Ramsey bluntly speaks on Social Security worries and work"},"content":{"rendered":"


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American workers transitioning from employment to retirement and Social Security benefits typically have several financial concerns.<\/p>\n

Personal finance author and radio host Dave Ramsey explains one option people have that can make the big lifestyle change less jarring for some.<\/p>\n

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Because Social Security benefits on their own are usually not enough to live on comfortably, people worry about whether their retirement savings and investments \u2014 often in 401(k)s and IRAs \u2014\u00a0 are of sufficient value to cover their financial needs.<\/p>\n

The cost of health care is another primary concern. People can enroll in Medicare at age 65, but the program does not cover all health expenses. Non-medical long-term care, which includes daily activities such as bathing, dressing, and eating, is one example of coverage for which a retiree needs to purchase their own insurance independently.<\/p>\n

Related: Dave Ramsey warns Americans to avoid this huge mortgage mistake<\/a><\/strong><\/p>\n

By contrast, short-term hospital stays and hospice care are covered by Medicare.<\/p>\n

People preparing to retire are also often nervous about the lifestyle changes that accompany the transition from full-time work to a new daily routine. They look for ways to stay active, socially connected and engaged.<\/p>\n

Ramsey provides insight into one approach to dealing with these changes that works for some people: continuing to work while collecting Social Security benefits.<\/p>\n

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A retired couple is seen holding hands and walking on a beach. Personal finance coach Dave Ramsey explains some facts about working while receiving Social Security benefits.<\/p>\n

Shutterstock<\/p>\n<\/figcaption><\/figure>\n

Dave Ramsey clarifies how work affects Social Security<\/h2>\n

Some people who reach the age where they can collect Social Security opt to do so while continuing to work<\/a>.<\/p>\n

This can be done at 62, but it involves reducing benefits by one dollar for every two dollars earned over a set annual household income, Ramsey explains. In 2024, that set amount was $22,320.<\/p>\n

But those reduced benefits aren’t entirely gone. The government withholds them until a person reaches full retirement age, which for most people is age 67.<\/p>\n

Then, the recipient gets a larger monthly paycheck that makes up for the previously received deduction.<\/p>\n

More on Dave Ramsey <\/strong><\/p>\n