What happens to Social security and medicaid contributions

[nitinboston]

Hello Friends,
Sorry if it has already been discussed, i was wondering what happens to social security and medicaid contributions we made if we decide to leave US permanently. Is there a way we can get it back as we wont be using these benefits.
Thanks

[rb_248]

Hello Friends,
Sorry if it has already been discussed, i was wondering what happens to social security and medicaid contributions we made if we decide to leave US permanently. Is there a way we can get it back as we wont be using these benefits.
Thanks

You get SS if you have worked for 40 quarters (10 yrs) in the US. Don't know about medicare......but, all this becomes a moot point if SS becomes bankrupt and chances of that happening is high. Thanks to Dubya's tax cuts.

[eastindia]

Hello Friends,
Sorry if it has already been discussed, i was wondering what happens to social security and medicaid contributions we made if we decide to leave US permanently. Is there a way we can get it back as we wont be using these benefits.
Thanks

SS and Medicare and all taxes you pay are our social responsibility for staying in this country. We use its roads, hospitals, schools. Our kids play here............ we enjoy what the country offers. So if we are enjoying, it is our moral and financial responsibility to also care for the old, weak and diseased. Even if we do not get benefit from it SS and Medicare is used by people who have made this country great for us to enjoy. They fought wars, innovated etc and now are old.

It is an irony that some people want to be part of this country but still do not show responsibility. Being part of this country does not mean learning American accent, driving good cars and saving money through Vonage. We can get respect from Americans only if we show respect for their culture, values and accept their system. You have no right to demand a greencard if you do not want to accept their country and show social responsibility.

[jetflyer]

Some people say US has lower taxes compared to other countries, thats because they do not count SS + Medicare as part ot Tax, which in my opinion should be included as tax/liability.
If so, we pay (per say) 25% tax, it is actually 25+7.65+7.65 = 40.3% tax. On top, add your state tax, which in my case is 5.75%, so all together 46.05% is my tax.

It is like you order pizza and you pay separate for crust + sauce + cheese + toppings.

[jetflyer]

SS and Medicare and all taxes you pay are our social responsibility for staying in this country. We use its roads, hospitals, schools. Our kids play here............ we enjoy what the country offers. So if we are enjoying, it is our moral and financial responsibility to also care for the old, weak and diseased. Even if we do not get benefit from it SS and Medicare is used by people who have made this country great for us to enjoy. They fought wars, innovated etc and now are old.

It is an irony that some people want to be part of this country but still do not show responsibility. Being part of this country does not mean learning American accent, driving good cars and saving money through Vonage. We can get respect from Americans only if we show respect for their culture, values and accept their system. You have no right to demand a greencard if you do not want to accept their country and show social responsibility.

Yes, but why non-immigrant has to pay SS + Medicare on top of taxes?
It makes perfect sense for GC/USC to pay but for H1/L1/F1... they should only pay taxes. period

[nitinboston]

I don't mind paying for the road and social services, i do that by paying taxes. social security and medicare is payment for secure retirement. Why should i not get it back if i am not retiring in US.

[snthampi]

Yes, but why non-immigrant has to pay SS + Medicare on top of taxes?
It makes perfect sense for GC/USC to pay but for H1/L1/F1... they should only pay taxes. period

People in H1 and L1 can become Permanent Residents. So, it makes perfect sense to pay SS & Medic. But, unfortunately, there is no way get the benefits (or get the money back), if you leave this country. That seams a bit unfair.

[jetflyer]

Exactly, since those people (H1+F1) are entitled to the benefits IF AND ONLY IF they become GC/USC, these (SS+Medicare) should be charged IF AND ONLY IF these people become eligible. If you are not eligible why would you for it? Forget about usage, here you are not even eligible.


People in H1 and L1 can become Permanent Residents. So, it makes perfect sense to pay SS & Medic. But, unfortunately, there is no way get the benefits (or get the money back), if you leave this country. That seams a bit unfair.

[nitinboston]

was there ever a law suit filed in this matter. I am sure others might have had same question at some time. Just wondering.

[sroyc]

I'm not trying to defend Dubya's tax cuts but that did not affect the social security and medicare tax rates. The problems with SS and Medicare are mostly related to changing demographics - i.e., an aging population.

You get SS if you have worked for 40 quarters (10 yrs) in the US. Don't know about medicare......but, all this becomes a moot point if SS becomes bankrupt and chances of that happening is high. Thanks to Dubya's tax cuts.

[snthampi]

Exactly, since those people (H1+F1) are entitled to the benefits IF AND ONLY IF they become GC/USC, these (SS+Medicare) should be charged IF AND ONLY IF these people become eligible. If you are not eligible why would you for it? Forget about usage, here you are not even eligible.

I agree with you. I almost made up my mind to go back in couple of years and I am not going get a penny back of my hard earned money that I paid towards SS+Medicare. People from a lot of other countries do get at least SS benefits. Indian politicians are totally useless to get anything done and they don't really care.

[sroyc]

Your calculations are probably based on your tax bracket but your effective tax rate likely to be much lower because of the progressive tax system. Regardless of what your tax contribution may be, the average person in the US pays much lower taxes than those in other developed countries. In fact, the very rich in the US are subjected to lower tax rates than the middle class because most of their income is from capital gains.

Some people say US has lower taxes compared to other countries, thats because they do not count SS + Medicare as part ot Tax, which in my opinion should be included as tax/liability.
If so, we pay (per say) 25% tax, it is actually 25+7.65+7.65 = 40.3% tax. On top, add your state tax, which in my case is 5.75%, so all together 46.05% is my tax.

It is like you order pizza and you pay separate for crust + sauce + cheese + toppings.

[redgreen]

You don't have to be GC/Citizen to get SS. You can get it in India if you have enough credits. Why drag Indian politicians here?

[Dhundhun]

I agree with you. I almost made up my mind to go back in couple of years and I am not going get a penny back of my hard earned money that I paid towards SS+Medicare. People from a lot of other countries do get at least SS benefits. Indian politicians are totally useless to get anything done and they don't really care.

It is basically agreement between countries.

If a Canada resident works in USA for one year, Govt. of Canada will take money from US at the time of retirement and combine retirement benefits (so that there is no windfall benefits).

If an Indian works in USA and accumulates 40 points or more, US gives back SS at retirement age. There is no combining of retirement benefits (Indian Pension and US SS) as far as I know. So what I understand, an Indian get windfall benefit after 40 points.

There are many other countries, you don't get a penny.

=============
Indian Govt did not put committed effort. Some spurious efforts are to take money back, of join Indian pension benefits and US SS. But things are not clear. What if an American work in India - Is he going to get retirement money back in US in US$. I think India has issues combining benefits and coming up with firm standing.


Note: Limiting Retirement Windfall Benefit: If this is not restricted many people can work both in US and Canada and have full retirement money form both countries - that is almost doubling the retirement income. So It is limited by MAX permissible.

[snthampi]

You don't have to be GC/Citizen to get SS. You can get it in India if you have enough credits. Why drag Indian politicians here?

So, you are saying that if I accumulate 40 credits and go back to India, I will get SS from the US in retirement age?

[redgreen]

That is what many in the same thread and in many other threads going on saying. Better why don't you go and read SSN webpage (http://www.socialsecurity.gov)?

So, you are saying that if I accumulate 40 credits and go back to India, I will get SS from the US in retirement age?

[The7zen]

SS and Medicare and all taxes you pay are our social responsibility for staying in this country. We use its roads, hospitals, schools. Our kids play here............ we enjoy what the country offers. So if we are enjoying, it is our moral and financial responsibility to also care for the old, weak and diseased. Even if we do not get benefit from it SS and Medicare is used by people who have made this country great for us to enjoy. They fought wars, innovated etc and now are old.

It is an irony that some people want to be part of this country but still do not show responsibility. Being part of this country does not mean learning American accent, driving good cars and saving money through Vonage. We can get respect from Americans only if we show respect for their culture, values and accept their system. You have no right to demand a greencard if you do not want to accept their country and show social responsibility.


Thats the reason, we pay Federal Tax, State Tax and Sales Tax. SS and Medicare should not be a social responsibility for an Alien.
I guess you misunderstood the OPs question, he wants to go back to his country so asking what happens to those $$ he paid in SS and Medicare, IMHO its fair, it got nothing to do with showing respect or disrespect to the American Culture.

[jetflyer]

In fact, the very rich in the US are subjected to lower tax rates than the middle class because most of their income is from capital gains.

100% agree, that way rich won't noise and happily pay 15% tax.

Your calculations are probably based on your tax bracket but your effective tax rate likely to be much lower because of the progressive tax system. Regardless of what your tax contribution may be, the average person in the US pays much lower taxes than those in other developed countries.

Above statements only holds true when you DO NOT COUNT SS + Medicare in tax (avg income $60k+).

[InTheMoment]

Incorrect!

SS+Medicare = Payroll tax = FICA is 6.2% + 1.45 % respectively. So just one 7.65% not two as you mentioned.

Secondly, the effective tax (with the exemptions, deductions and credits) that one would pay is generally between 11-16% for the tax bracket that you assumed.


Some people say US has lower taxes compared to other countries, thats because they do not count SS + Medicare as part ot Tax, which in my opinion should be included as tax/liability.
If so, we pay (per say) 25% tax, it is actually 25+7.65+7.65 = 40.3% tax. On top, add your state tax, which in my case is 5.75%, so all together 46.05% is my tax.

It is like you order pizza and you pay separate for crust + sauce + cheese + toppings.

[jetflyer]

With due respect I disagree.
Incorrect!
SS+Medicare = Payroll tax = FICA is 6.2% + 1.45 % respectively. So just one 7.65% not two as you mentioned.

YOU ARE NOT FIGURING EMPLOYER PART, WHICH, IF EMPLOYER DOESN'T HAVE TO PAY THEN WILL COME TO EMPLOYEE AS PART OF PAY. I regularly have disccusions with HR and what they count is employee liability to company which includes this.

Incorrect!
Secondly, the effective tax (with the exemptions, deductions and credits) that one would pay is generally between 11-16% for the tax bracket that you assumed.

That doesn't apply to everyone evenly. Imagine a single person making $100k/yr.

[ramaonline]

This has been discussed in the past. Indian citizens cannot get any SS benefits in India even with 40 credits & Green Card.

[Green_Always]

It is like giving it to Charity!!!

[krishmunn]

This has been discussed in the past. Indian citizens cannot get any SS benefits in India even with 40 credits & Green Card.

Who says so ? SS website has an international section. Check that out. There are very few countries which are restricted (like Cuba etc) and India is not one of those.

You can get SS benefit if you have 40 credits even if you are an Indian Citizen residing in India.

To those who want SS tax back, do you claim your Federal tax back too ? This is just a tax like any other tax. Don't confuse this with PF in India (that is comparable to 401K). No one (including USC) "gets back" SS money. The money paid by us are used to pay those who are retired and similarly, when we retire, money paid by workers at that point will be used to pay us.

Finally, if you do not want to pay SS tax, there is a easy way --- do not come to work in US

[krishmunn]

Check this Your Payments While You Are Outside The United States (http://www.socialsecurity.gov/pubs/10137.html#what)

[nitinboston]

Who says so ? SS website has an international section. Check that out. There are very few countries which are restricted (like Cuba etc) and India is not one of those.

You can get SS benefit if you have 40 credits even if you are an Indian Citizen residing in India.

To those who want SS tax back, do you claim your Federal tax back too ? This is just a tax like any other tax. Don't confuse this with PF in India (that is comparable to 401K). No one (including USC) "gets back" SS money. The money paid by us are used to pay those who are retired and similarly, when we retire, money paid by workers at that point will be used to pay us.

Finally, if you do not want to pay SS tax, there is a easy way --- do not come to work in US

Just to enlighten you SS and medicaid are not taxes, they are contributions towards retirement benefit, don't mix the terms please. And all i am asking is why should i not get my contribution back if i am not retiring here? I think it is very fair to ask for the money back if one doesn't use the the servisec.

[krishmunn]

Just to enlighten you SS and medicaid are not taxes, they are contributions towards retirement benefit, don't mix the terms please. And all i am asking is why should i not get my contribution back if i am not retiring here? I think it is very fair to ask for the money back if one doesn't use the the servisec.

Have you ever glanced at your W2 ? This is what it says "Social security tax withheld" , "Medicare tax withheld". Looks like you are the one who need enlightment.

It is not you who defines what it is .

Coming to your point , you need to understand --

1) The law is same for USC. A USC who does not work 40 credit will not get anything out of SS. So why it should be different for aliens ?

2) SS tax is NOT like putting money in bank. I have explained earlier, the money paid by you is used to pay benefits to those who are retired now. It is not saved for you for future.

3) If you do not want to pay US tax, do not work here. It is as simple as that.

[InTheMoment]

With due respect I disagree.


YOU ARE NOT FIGURING EMPLOYER PART, WHICH, IF EMPLOYER DOESN'T HAVE TO PAY THEN WILL COME TO EMPLOYEE AS PART OF PAY. I regularly have disccusions with HR and what they count is employee liability to company which includes this



That doesn't apply to everyone evenly. Imagine a single person making $100k/yr.

Well, I assumed most of us are talking about tax liability for employees and not employers. But yes, if you are talking the entire employee + employer taxes then your figures are mostly correct... but you forgot to add Federal and State Unemployment taxes !

[Milind123]

SS and Medicare and all taxes you pay are our social responsibility for staying in this country. We use its roads, hospitals, schools. Our kids play here............ we enjoy what the country offers. So if we are enjoying, it is our moral and financial responsibility to also care for the old, weak and diseased. Even if we do not get benefit from it SS and Medicare is used by people who have made this country great for us to enjoy. They fought wars, innovated etc and now are old.

It is an irony that some people want to be part of this country but still do not show responsibility. Being part of this country does not mean learning American accent, driving good cars and saving money through Vonage. We can get respect from Americans only if we show respect for their culture, values and accept their system. You have no right to demand a greencard if you do not want to accept their country and show social responsibility.

EastIndia, What are you smoking? How is your blabber related to the original question asked.

[mammoy2k]

I am disturbed by preaching here, especially when someone is preaching without facts. Taxes that one pays in the US are for roads, schools and NOT for hospital. US Govt does not run hospitals except for VA/DoD.

Now Medicare and Social Security are not tax per se. They are like HOA, where everyone pools $ and later they get benefit. It is not for people who fought war or made country great. It is for EVERYONE who contributed to these pools. How is asking for the rights is not showing respect to society? In fact not asking for rights is disrespect to US society.

Regarding GC, I agree that it is not a right. But that does not mean that anyone can take your hard earned $ promising to pay you when you are old and you not getting it.

SS and Medicare and all taxes you pay are our social responsibility for staying in this country. We use its roads, hospitals, schools. Our kids play here............ we enjoy what the country offers. So if we are enjoying, it is our moral and financial responsibility to also care for the old, weak and diseased. Even if we do not get benefit from it SS and Medicare is used by people who have made this country great for us to enjoy. They fought wars, innovated etc and now are old.

It is an irony that some people want to be part of this country but still do not show responsibility. Being part of this country does not mean learning American accent, driving good cars and saving money through Vonage. We can get respect from Americans only if we show respect for their culture, values and accept their system. You have no right to demand a greencard if you do not want to accept their country and show social responsibility.

[django.stone]

SS and Medicare and all taxes you pay are our social responsibility for staying in this country. We use its roads, hospitals, schools. Our kids play here............ we enjoy what the country offers. So if we are enjoying, it is our moral and financial responsibility to also care for the old, weak and diseased. Even if we do not get benefit from it SS and Medicare is used by people who have made this country great for us to enjoy. They fought wars, innovated etc and now are old.

It is an irony that some people want to be part of this country but still do not show responsibility. Being part of this country does not mean learning American accent, driving good cars and saving money through Vonage. We can get respect from Americans only if we show respect for their culture, values and accept their system. You have no right to demand a greencard if you do not want to accept their country and show social responsibility.

SS and Medicare are exclusively to pay senior citizens (65+) retirement and health benefits, with some exceptional cases for widowed folks. They do not go towards roads, hospitals or schools - these are paid through federal income tax, state income tax, sales tax and property tax. SS and Medicare are basically like we pay to seniors now to get back in future when we are old: so the key difference is the reciprocity and expectations to get back some benefits in future, hence it is nothing wrong if people who work here for 10+ years pay SS and ask for something in return in the future.

[django.stone]

Who says so ? SS website has an international section. Check that out. There are very few countries which are restricted (like Cuba etc) and India is not one of those.

You can get SS benefit if you have 40 credits even if you are an Indian Citizen residing in India.

To those who want SS tax back, do you claim your Federal tax back too ? This is just a tax like any other tax. Don't confuse this with PF in India (that is comparable to 401K). No one (including USC) "gets back" SS money. The money paid by us are used to pay those who are retired and similarly, when we retire, money paid by workers at that point will be used to pay us.

Finally, if you do not want to pay SS tax, there is a easy way --- do not come to work in US

From your post "The money paid by us are used to pay those who are retired and similarly, when we retire, money paid by workers at that point will be used to pay us." - this is exactly what people are asking here, some benefits when we retire if we had paid enough SS credits (10 years or 40+ quarters). Just the difference is that the retirement happens in India and not here. Nobody is asking the money back now. We are all asking for same treatment as everybody else who pays SS.

[django.stone]

100% agree, that way rich won't noise and happily pay 15% tax.



Above statements only holds true when you DO NOT COUNT SS + Medicare in tax (avg income $60k+).

Let's see some actual data. I am not making any judgments and leave it up to you see the data and decide for yourself.

Taxation Charts | Perot Charts - Part 11 (http://perotcharts.com/category/taxation-charts/page/11/)

[krishmunn]

From your post "The money paid by us are used to pay those who are retired and similarly, when we retire, money paid by workers at that point will be used to pay us." - this is exactly what people are asking here, some benefits when we retire if we had paid enough SS credits (10 years or 40+ quarters). Just the difference is that the retirement happens in India and not here. Nobody is asking the money back now. We are all asking for same treatment as everybody else who pays SS.


And you get the same treatment. It does not matter if you retire in India. You will get your money . So what is the problem? However, with current state of SS, no one (including USC) might be getting anything out of it.
Did you check the SSA link which I sent earlier?

[krishmunn]

I am disturbed by preaching here, especially when someone is preaching without facts. Taxes that one pays in the US are for roads, schools and NOT for hospital. US Govt does not run hospitals except for VA/DoD.

Now Medicare and Social Security are not tax per se. They are like HOA, where everyone pools $ and later they get benefit. It is not for people who fought war or made country great. It is for EVERYONE who contributed to these pools. How is asking for the rights is not showing respect to society? In fact not asking for rights is disrespect to US society.

Regarding GC, I agree that it is not a right. But that does not mean that anyone can take your hard earned $ promising to pay you when you are old and you not getting it.


SS and Medicare are termed as TAX if you check your W2.

However, your basic premise is incorrect. One can get SS benefits even in India. Check the link which I sent in earlier post

[gc28262]

SS and Medicare are termed as TAX if you check your W2.

However, your basic premise is incorrect. One can get SS benefits even in India. Check the link which I sent in earlier post

To quote McCain "A pig is a pig even if you put lipstick on it"
Just naming Social Security and Medicare as "TAX" in W2 won't make it a regular tax.

[gnutin]

So, to summarize, we can get social security benefits when we retire outside USA as long as we don't live in one of the countries explicitly excluded on the Social Security website.

[krishmunn]

To quote McCain "A pig is a pig even if you put lipstick on it"
Just naming Social Security and Medicare as "TAX" in W2 won't make it a regular tax.

The only point is you or I are nobody to decide if the nomenclature is incorrect. We have come to this country as alien, per our own wish. If we do not like their terminilogy or rules, we have the option not to come.

I am not sure what is your definition of "regular" or "irregular" tax but a tax is what is collected by a government from people and spent for benefit of people. The definition fits perfect for SS and medicare.

It is not that you learnt about SS rules after working for many years in this country.

[django.stone]

And you get the same treatment. It does not matter if you retire in India. You will get your money . So what is the problem? However, with current state of SS, no one (including USC) might be getting anything out of it.
Did you check the SSA link which I sent earlier?

You seem to speaking about things that are irrelevant to the question and discussion. As you can see from the previous post from KhodalMD there is no clear direction on if all of us get SS benefits if we go back home. We can call get to any links via google, that's not the point of discussion. the point of discussion is to know if people can get SS benefits if they go back home after meeting 10 yrs criteria. NO your link does not conclusively answer that.

[gc28262]

The only point is you or I are nobody to decide if the nomenclature is incorrect. We have come to this country as alien, per our own wish. If we do not like their terminilogy or rules, we have the option not to come.

I am not sure what is your definition of "regular" or "irregular" tax but a tax is what is collected by a government from people and spent for benefit of people. The definition fits perfect for SS and medicare.

It is not that you learnt about SS rules after working for many years in this country.

The issue here is many of us from our continent religiously believe "Government is of the people, by the people, for the people". We think government can do whatever it wants, it is all legitimate. Remember slavery was legal in this country. There are lot of unfair, unjust rules in every country. Legislative arm of the government is to correct these unjust rules. GW Bush or Obama can build a mansion for themselves and can impose an additional TAX on people to cover the cost. It will still appear as "TAX" in W2 statements. But it is not a TAX.

If after living in this country and haven't noticed the difference between American democracy vs Indian democracy, American public vs Indian public
you haven't gained much by living here.

[krishmunn]

You seem to speaking about things that are irrelevant to the question and discussion. As you can see from the previous post from KhodalMD there is no clear direction on if all of us get SS benefits if we go back home. We can call get to any links via google, that's not the point of discussion. the point of discussion is to know if people can get SS benefits if they go back home after meeting 10 yrs criteria. NO your link does not conclusively answer that.

It of course clarifies that an Indian Citizen in India can get the benefits. Read it again.

If you still have doubt, contact SSA

[krishmunn]

The issue here is many of us from our continent religiously believe "Government is of the people, by the people, for the people". We think government can do whatever it wants, it is all legitimate. Remember slavery was legal in this country. There are lot of unfair, unjust rules in every country. Legislative arm of the government is to correct these unjust rules. GW Bush or Obama can build a mansion for themselves and can impose an additional TAX on people to cover the cost. It will still appear as "TAX" in W2 statements. But it is not a TAX.

If after living in this country and haven't noticed the difference between American democracy vs Indian democracy, American public vs Indian public
you haven't gained much by living here.

Oh! The American Public has never complained about SS Tax or Medicare. It is you, the Indian Public, who is complaining.

Why should US change their rule of SS giving an unfair advantage to the aliens ?

Even a USC might not get anything out of SS given the trend of its funds and you expect them to return all your money. Keep dreaming

[thomachan72]

If H1B holder work here and get 40 credits (10 years), do not have USA green card/Citizenship and go back to India, he/she will not get any SS or medicare benefits after 65Y. If US citizen decided to go back to India, he/she will get SS and Medicare after 65 (Subject to more than 40 credits)..
Here is further explanation disputing what you just said-->directly from social security website
If you are not a U.S. citizen or a citizen of one of the other countries listed above, your payments will stop after you have been outside the United States for six full calendar months unless you meet one of the following exceptions:

You were eligible for monthly Social Security benefits for December 1956; or
You are in the active military or naval service of the United States; or
The worker on whose record your benefits are based had railroad work treated as covered employment by the Social Security program; or
The worker on whose record your benefits are based died while in the U.S. military service or as a result of a service-connected disability and was not dishonorably discharged; or
You are a resident of a country with which the United States has a Social Security agreement.

Currently, these countries are:
Australia, Austria Belgium Canada Chile Czech Republic Denmark Finland France Germany
Greece Ireland Italy Japan Korea (South) Luxembourg Netherlands Norway Poland Portugal Spain Sweden Switzerland United Kingdom

or You are a citizen of one of the countries listed below, and the worker on whose record your benefits are based lived in the United States for at least 10 years or earned at least 40 credits under the U.S. Social Security system. If you are receiving benefits as a dependent or survivor, see additional requirements.

Afghanistan Australia Bangladesh Bhutan Botswana Burma Burundi Cameroon Cape Verde
Central African Republic Chad China Congo, Rep. of Ethiopia Fiji Gambia Ghana Haiti Honduras India Indonesia Kenya Laos Lebanon Lesotho Liberia Madagascar Malawi Malaysia Mali Mauritania Mauritius Morocco Nepal Nigeria Pakistan St. Vincent & renadines Senegal Sierra Leone Singapore Solomon Islands Somalia South Africa
Sri Lanka Sudan Swaziland Taiwan Tanzania Thailand Togo Tonga Tunisia Uganda
Yemen

[viji76]

So, you are saying that if I accumulate 40 credits and go back to India, I will get SS from the US in retirement age?

Retire To India: Social security for Overseas retirees (http://www.retire2india.com/2007/05/social-security-for-overseas-retirees.html)

If you are not a US citizen, your eligibility to receive social security benefits depends on which country you are a citizen of. [If you are an Indian citizen, you are eligible to receive benefits provided you have lived in the US for at least 10 years or earned at least 40 credits under the social security system.]

This is a reply from a guy who started getting recently
"HI NIgel,
This blog is excellent. Thanks a lot for your valuable comments about ss benefits. After seeing this I applied for my ss benefits and I am getting them. I am not a us citizen and I dont have the green card now.
I have the necessary 40 credits.
They are withholding 30% of the 85% benefits. Is this correct?
thanks"

[spicy_guy]

Retire To India: Social security for Overseas retirees (http://www.retire2india.com/2007/05/social-security-for-overseas-retirees.html)

If you are not a US citizen, your eligibility to receive social security benefits depends on which country you are a citizen of. [If you are an Indian citizen, you are eligible to receive benefits provided you have lived in the US for at least 10 years or earned at least 40 credits under the social security system.]

This is a reply from a guy who started getting recently
"HI NIgel,
This blog is excellent. Thanks a lot for your valuable comments about ss benefits. After seeing this I applied for my ss benefits and I am getting them. I am not a us citizen and I dont have the green card now.
I have the necessary 40 credits.
They are withholding 30% of the 85% benefits. Is this correct?
thanks"

On a completely different side, everyone gets the same amount or based on their current salary? Maybe a dumb Q, but just curious.

[Dhundhun]

On a completely different side, everyone gets the same amount or based on their current salary? Maybe a dumb Q, but just curious.

The formula is complex and tapered.

As an example:
Average of 35 years highest earning is taken. So suppose $5000 is monthly average. Then in one of the years it was computed like:

90% of $606 + 32% of upto $3653 + 15% above $3653 = $1813 (Ignore errors, just to give some rough idea)

For a person with monthly $10000, the amount would be = $2563 (Ignore errors, just to give some rough idea)

For a person with monthly $2000, the amount would be = $1033 (Ignore errors, , just to give some rough idea)

This is just to give some idea.

So the keywords are LIKE average monthly of 35 highest earning years, then 90% of some amount, then 35% of some amount and then 15% of rest amount. The formula is updated frequently.




With this formula, someone who worked in US for 10 years, with monthly of 6000, may get around $900+ per month and with 10000 monthly, it could be around $1300+.


Also, as far as I know, non working spouse, who stayed for five+ years in US would get 50% of primary at the retirement age.

[spicy_guy]

The formula is complex and tapered.

As an example:
35 years maximum earning is taken. It is divided by 12 to get monthly. So suppose $5000 is monthly average. Then in one of the years it was computed like:

90% of $606 + 32% of upto $3653 + 15% above $3653 = $1813 (Ignore errors, just to give some rough idea)

For a person with monthly $10000, the amount would be = $2563 (Ignore errors, just to give some rough idea)

For a person with monthly $2000, the amount would be = $1033 (Ignore errors, , just to give some rough idea)

This is just to give some idea.

So the keywords are LIKE average monthly of 35 highest earning years, then 90% of some amount, then 35% of some amount and then 15% of rest amount. The formula is updated frequently.




With this formula, someone who worked in US for 10 years, with monthly of 6000, may get around $900+ per month and with 10000 monthly, it could be around $1300+.


Also, as far as I know, non working spouse, who stayed for five+ years in US would get 50% of primary at the retirement age.

wow! thanks much for detailed explanation!

[snthampi]

SS and Medicare are termed as TAX if you check your W2.

However, your basic premise is incorrect. One can get SS benefits even in India. Check the link which I sent in earlier post

I suggest, you should go back and read it again. Did you read khodalmd's response? He is somewhat accurate. As of today, if you worked on H1 (40+ quarters) and go back to India, you won't get SS benefits. But, if India makes an agreement with the US on this, then we will.

[krishmunn]

I suggest, you should go back and read it again. Did you read khodalmd's response? He is somewhat accurate. As of today, if you worked on H1 (40+ quarters) and go back to India, you won't get SS benefits. But, if India makes an agreement with the US on this, then we will.

You are completely wrong. Did you even check the Link to SSA which I sent ?

Thanks to thomachan72 who has posted the content from SSA site. This shows that khodalmd and you are wrong.

Bottomline, Indian Citizen in India CAN and DO get SS benefit if they contribute 40+ quarters. If you do not want to believe what is written in SSA webiste , I guess there is nothiing in the world that can bring you out of your hallucination.

BTW, if India makes a totalatarian agreement, US will move the money to a similar fund in India . This makes sense mostly for people who has contributed less then 40 quarters . For rest, it is not much difference

[snathan]

Yes, but why non-immigrant has to pay SS + Medicare on top of taxes?
It makes perfect sense for GC/USC to pay but for H1/L1/F1... they should only pay taxes. period

Its the law and must respect. Period.

[redgreen]

I think this kind of discussion is not to enforce a person's fantasy on others. Several of us without any personal motive, just stated the relevant facts (not imaginary; not from some unknown fears) and provided relevant links which anybody can check. Still people go on claiming as this is wrong, that is wrong, it is not possible, i don't think so and even worse "I know you can't get anything in India from SS", etc. It is not a problem for me or anybody who does not want to force anything on others; facts are always facts and anybody can find it. Still when you see such people, you feel sad and pity!

[ndbhatt]

You are completely wrong. Did you even check the Link to SSA which I sent ?

Thanks to thomachan72 who has posted the content from SSA site. This shows that khodalmd and you are wrong.

Bottomline, Indian Citizen in India CAN and DO get SS benefit if they contribute 40+ quarters. If you do not want to believe what is written in SSA webiste , I guess there is nothiing in the world that can bring you out of your hallucination.

BTW, if India makes a totalatarian agreement, US will move the money to a similar fund in India . This makes sense mostly for people who has contributed less then 40 quarters . For rest, it is not much difference

Given the economic scenario, such agreement to move money from US to India is a distant dream, US exchequer will be drained by 100's million, if not billions of dollars. There has been several rounds of talk around this wishful thinking by Indian politicians/diplomats past several years, yet there is no traction. I can think of CIR being passed as a bill but not this fat one.

[redgreen]

Deduct from Income? We get it deducted when we get paycheck, isn't it?
Or did you mean, for tax filing purposes? Is it not like state, and Fed taxes?
It is always better not to give any taxes but still I don't understand your question.

Some people here suggested we should consider them as a tax. OK say we assume that for a moment, shouldn't we get to deduct it from our incomes then. We get to deduct federal tax paid so why not SS and medicare. this is geared more towards people who are saying SS and medicaid are taxes.

[krishmunn]

You are completely wrong. Did you even check the Link to SSA which I sent ?

Thanks to thomachan72 who has posted the content from SSA site. This shows that khodalmd and you are wrong.

Bottomline, Indian Citizen in India CAN and DO get SS benefit if they contribute 40+ quarters. If you do not want to believe what is written in SSA webiste , I guess there is nothiing in the world that can bring you out of your hallucination.

BTW, if India makes a totalatarian agreement, US will move the money to a similar fund in India . This makes sense mostly for people who has contributed less then 40 quarters . For rest, it is not much difference

Someone in a zeal to give me Red has commented that it is not totalitarian but totalization. This itself shows that the people who are opposing SS have no clue on the SS rules. And BTW, I don't care about Red ... you are most welcome to give Red, Green, Blue ... anything

[shreekhand]

Notwithstanding what you wrote, from your tone, it does look that you cared about that red !

BTW it is indeed totalization and not totalitarian... :p

Someone in a zeal to give me Red has commented that it is not totalitarian but totalization. This itself shows that the people who are opposing SS have no clue on the SS rules. And BTW, I don't care about Red ... you are most welcome to give Red, Green, Blue ... anything

[Student with no hopes]

What happens to the money we pay for SS (lets say for 5 years) and have left the country? with or without the gc? will we see any of it?

on another note, can a person on opt start a home business in addition to a full time job?

[tonyHK12]

What happens to the money we pay for SS (lets say for 5 years) and have left the country? with or without the gc? will we see any of it?

on another note, can a person on opt start a home business in addition to a full time job?

for the first question - no hope, its all gone now unless you have 40 creadits - minimum of 9.25 years of SS contribution

[ameerka_dream]

Retire To India: Social security for Overseas retirees (http://www.retire2india.com/2007/05/social-security-for-overseas-retirees.html)

Social Security Update 2010 (http://www.ssa.gov/pubs/10003.html)

How You Earn Credits (http://ssa.gov/pubs/10072.html)

What happens to the money we pay for SS (lets say for 5 years) and have left the country? with or without the gc? will we see any of it?

on another note, can a person on opt start a home business in addition to a full time job?