(877) 728-6564 | Contact Us

      

Pittsburgh’s All DFA Index Portfolios
& Retirement Income Planning Firm
Since 1989

Social Security, Where Budget Cuts Lead to Terrible Service

by P.J. DiNuzzo                                                                                                April 12, 2018

Social Security, Where Budget Cuts Lead to Terrible Service

These days, trying to apply for Social Security benefits, or getting straight answers about what your best claiming strategy might be, is frustrating at best.  Recently, Max Richtman, president and CEO of the National Committee to Preserve Social Security and Medicare, illustrated the problem in vivid detail before the U.S. House Ways & Means Committee.  When he began his testimony, he first dialed the agency's toll-free telephone number.  Twenty-five minutes later, he announced to the legislators that his phone was still on hold.  A recorded message said that his wait would be about an hour.

Visiting the local office isn't much better.  Since 2010, annual budget cuts have reduced the SSA's staffing by 3,500 employees, and funding under the FY2019 federal budget would result in a further reduction of 1,000 more.  Congress has not confirmed a Social Security Administrator in the past five years. 

Of course, by stretching the staff so thinly, our government has also compromised the quality of the advice that you receive about the very complicated possible claiming options involving spouses, survivors of deceased spouses and working individuals who wonder how much their yearly income will reduce their benefits if they claim early.

Mary Beth Franklin, author of a guidebook for financial planners entitled "Maximizing Your Clients' Social Security Retirement Benefits" suggests that most claimants will get better advice from their financial planner than the overstressed, underpaid worker at the Social Security Administration.

Sincerely, 

P.J. DiNuzzo, CPA, PFS, AEP®, AIF®, MBA, MSTx
President, Founder, and Chief Investment Officer

Website Design For Financial Services Professionals | Copyright 2018 AdvisorWebsites.com. All rights reserved