Cross Border Retirement Income: Canada Pension Plans, Canadian Old Age Security, U.S. Social Security and the Windfall Elimination Provision

Cross Border Retirement Income: Canada Pension Plans, Canadian Old Age Security, U.S. Social Security and the Windfall Elimination Provision

Calling all eligible benefit holders of the Canada Pension Plan (CPP), Canadian Old Age Security (OAS) and U.S. Social Security (SS)……….

Does your or your spouse’s story narrate a history of employment in both Canada and the U.S.? If so, you may have the privilege of drawing from SS, OAS and CPP. The confusion lies amidst the qualifications and how these benefits interact with one another given the Windfall Elimination Provision (WEP).

Let’s break it down……

Social Security (SS)

To qualify for retirement benefits under U.S. Social Security, you must have 40 credits of covered work.  Each credit represents a quarter (i.e. 3 months) of full-time employment.  Thus, generally speaking, you must have 10 years of full time employment in order to qualify for retirement benefits.

All monthly benefits are based on your Primary Insurance Amount (PIA), which is the amount you would receive if you retired at your full retirement age (FRA). The FRA is age 65 for people born before 1938, gradually increasing to age 67 for those born in 1960 and later.

You can choose to take it as early as age 62, resulting in a 25% reduction in benefits. At a more granular level, the monthly PIA is reduced by 5/9ths of 1% for each of the first 36 months before your FRA. You can also choose to earn delayed retirement credits (DRCs) for any month from FRA up to age 70.

DRCs increase the benefit for the retired worker but not the spouse (if utilizing the spousal benefit). If you were born in 1943 or later, you earn 8% DRCs for each full year (prorated for months) up to age 70 for a maximum increase of 32%.

Individuals have the opportunity to take a SS benefit on the greater of their own record or 50% of their spouse’s SS benefit.

Canadian Old Age Security (OAS)

The rules to qualify for full OAS benefits under the Canadian system are centered on residency in Canada beyond the age of 18, not employment history. A full benefit is received when an individual has accumulated a Canadian residence history of 40 years.

The pension can commence as early as the month following one’s 65th birthday or be delayed as late as age 70. By deferring one’s OAS, the benefit increases by 0.6% per month/7.2% per year, which equals a 36% increase if OAS is deferred to age 70. Partial OAS benefits may be available in certain situations. Let’s review a few scenarios:

Let’s assume you’ve lived in Canada less than 40 years and you are currently residing in Canada. As long as you are 65 years or older, a legal resident of Canada or Canadian citizen, and have lived in Canada at least 10 years since the age of 18, you are eligible for a prorated OAS benefit.

To take it a step further, let’s assume the same scenario with a bit of a twist. Instead of currently residing in Canada, you are now living in the U.S. These circumstances dictate you must have resided in Canada for a minimum of 20 years since the age of 18 in order to receive a partial benefit.

If neither of these examples apply to you, there may still be an opportunity to collect on the benefit if the country in which you currently reside has a social security agreement with Canada.

One final item on OAS; if one were to reside in Canada at the time of receipt of the OAS benefit, the individual may be subject to the OAS clawback. This would be created when your income exceeds certain threshold levels.

For the 2019 tax year, the OAS clawback kicks in when income exceeds, $77,580. On the other hand, if OAS payments are made to a physical resident of the U.S. – and not a Canadian physical or tax resident – the clawback provisions are eliminated, and the entire benefit is paid to the recipient. No OAS clawback would apply.

Canada Pension Plan (CPP)

Unlike Old Age Security, CPP is based upon your pension contributions through your employment record, subject to certain maximums. As long as you’ve made at least one contribution to the plan, you are entitled to receive a CPP benefit.

This benefit is available at age 65, but one can opt for a reduced benefit as early as age 60 (reduced by 7.2% annually) or a delayed benefit as late as age 70 (increased by 8.4% annually). In addition, the CPP benefit is not subject to any clawbacks.

How then do these benefits tie in with the Windfall Elimination Provision (WEP)?

Understanding the Windfall Elimination Provision

Under Title II of the Social Security Act, the Windfall Elimination Provision was born. It authorized the Social Security Administration to reduce an individual’s Social Security benefit in the event the recipient was also receiving a foreign pension (e.g. CPP). To understand the “why” behind the WEP, it’s important to comprehend how the SS benefit is calculated, specifically the Primary Insurance Amount (PIA).

A worker’s PIA is based off their average monthly earnings separated into three amounts. These values are then multiplied utilizing three distinct factors. Here’s an example:

For a worker who turns 62 in 2018, the first $895 of average monthly earnings is multiplied by 90%, earnings between $895 and $5,397 by 32%, and the balance by 15%. The sum of these three amounts equals the PIA, which is then either increased or decreased depending on when a worker decides to draw SS. This is how the monthly payment is determined.

Social security was meant to replace part of an individual’s pre-retirement earnings. With the previous calculation in mind, one can conclude that workers with lower average monthly earnings have a higher percentage of their pre-retirement earnings replaced via Social Security than those with higher average monthly earnings.

For example, a 62 year old worker with average earnings per month of $3,000 could receive a benefit at FRA of $1,479 (49 percent of their pre-retirement earnings), increased by cost of living adjustments. For a worker with $8,000 of average earnings per month, the benefit starting at FRA could be $2,636 (32 percent of their pre-retirement earnings) plus cost of living adjustments.

For those individuals whose primary job wasn’t covered by Social Security, yet had their benefits calculated as if they were a long term, low-wage worker, they would end up receiving a benefit that would cover a higher percentage of their earnings, plus a pension from a job for which they didn’t pay Social Security taxes. This is true for someone who spent time working for an employer in Canada, earning CPP credits.

Under the Windfall Elimination Provision (WEP) the calculation for a worker’s Social Security benefit needs to account for the CPP payment. The 90% factor on the first $895 of monthly average earnings (when estimating PIA), could be reduced depending on the number of years of U.S. earnings history. The WEP is eliminated once a worker has 30 or more years of substantial earnings in the U.S.

The U.S. Social Security Administration has an Online WEP Calculator that is available via: https://www.ssa.gov/planners/retire/anyPiaWepjs04.html

Despite the current provisions of WEP, a U.S. Class Action lawsuit has been filed on behalf of Canadians who receive SS benefits and have been impacted by WEP.  The suit was recently filed in the State of Indiana against the SSA. The crux of the lawsuit is whether the application of WEP against individuals who also receive the same benefits in Canada is lawful.

The Plaintiffs in the Class Action are claiming that the application of WEP to U.S. benefit recipients is unlawful and presents a violation of the plain meaning of the U.S. Social Security Act, U.S. Social Security Act Regulations and the Social Security Agreement (1983-1984) between United States and Canada (the “Social Security Agreement”).

The Plaintiffs are seeking retroactive payment of the amounts that have been deducted through the application of WEP and the ending of the application of WEP moving forward.  The claim has been certified but has yet to move forward at the trial court level.

In Summary: Although a worker’s Social Security is potentially reduced by CPP, the good news is that OAS does not factor into the WEP calculation.

Whether the WEP impacts your Social Security depends on the uniqueness of your individual circumstances and the potential result of the Class Action Lawsuit.

If you think you might be impacted by WEP, we recommend you have a cross border financial planner such as Cardinal Point analyze your situation.

https://www.ssa.gov/pubs/EN-05-10045.pdf#page=2

VR Real Life Offers a New Web Directory for Virtual Reality Allowing Producers to Get Paid

VRRealLife.com is offering a new online directory for virtual reality videos and information on VR. It serves as a rich platform and gathering place for enthusiasts, businesses, video producers and more.

The site also gives video producers an important way to monitize their videos by including their site or social media link below videos and comments.

Membership to www.VRRealLife.com is free. The platform furthers its own interests by placing their site link below each video.

Virtual Reality is a very hot topic among audiences everywhere. The site has been growing quickly as it offers a constantly expanding directory of videos covering just about every industry.

“Lots of people still think of VR as video games. While it’s true VR is used for gaming, VR is also being used by a variety of industries to attract audiences, explain their products, and train employees and customers.

Members can create their own channels and playlists. This can attract significant audience`s that can become prospects, customers, and drive improved profits for the producer and the company they represent.

Members are also encouraged to post comments and reviews. All this makes the site a welcoming and enthusiastic community for all things pertaining to virtual reality. Content authors are encouraged to include a link to their site to attract audiences for their own commercial or cultural interests.

In the future VR Real Life plans video contests where producers have their fans and clients vote. Prizes will be impressive. This gives videos more audience, expands the platform’s following, and gives members a no-cost way to advertise their product, service, brand, or idea.

To learn more visit www.VRRealLife.com and browse the many categories currently displayed. The site is quickly becoming an important directory for VR and a frequent destination for consumers and businesses interested in the Virtual Reality.

“But What About Making $$$ With Our Videos?”

When uploading your videos you are able to add a link to your products and services in the content area.

This gives you a way to recoup your investment of time and expense in producing your video.

For some this can be a rich market for finding commercial success with their video production. We strongly encourage video production companies, independent producers, and other companies that create VR as part of their training, education, advertising, and public relations campaigns.

Other categories include, Real Estate, and Start-ups.

We urge you to stop by VRRealLife.com and create your own FREE MEMBERSHIP. There is no charge to participate.

When you become a member and upload your videos, you can add a link to encourage viewers to visit your site, service, product, video channel, or other commercial or cultural outlet. The choice is yours.

This gives you an easy way to find new audiences, grab more leads, develop enthusiastic customers, and generate lots of additional sales.  All without any cost!

Getting Best SIM Only Deals UK in 2018

If you are in UK and are using a mobile phone then you must be aware of the SIM only deals which are getting much popular in and around UK. This is one of the best ways by which you can cut down your mobile phone bills and make your calls really affordable.

SIM only deals are for SIM free handsets and are really easy to use.

One can easily go with such deals so as to use their mobile phones without worrying about the huge bills that one usually pays.

The major benefit of these SIM only deals is that these are offered by almost all the leading networks in UK such as O2, Vodaphone, T-mobile, Three and Orange. This allows you to go with your desired network and at the same time get the benefit of SIM only deals

With the increasing use of mobile phones, the demand and popularity of SIM only deals is also increasing. People are finding it easy and comfortable to go with these deals as they have the complete freedom of choosing the network and at the same time they do not have to sign a contract with the network provider.

One can easily move to another network if he or she is not satisfied with the service. The search for the best options like Three mobile SIM only deals is really easy today as one can look for them online.

If you are struggling to find the best SIM only deal for your own self then why not look for them on net. This will even allow you to compare several deals available in the market so as to make the best choice.

Online shops even allow you to buy these deals along with best sim only unlimited data sitting at home. Best SIM Only Deals can also be found online. There are various online shops that allow you to look for best SIM Only Deals so that you can enjoy the best experience with your mobile phone in 2018.

Using Best Torrent VPN Service Provider For Enhanced Security And Speed

In case you have been looking forward to own the best quality VPN connection for your computer then make sure that the exact distance of your country`s server and other country`s server is not very far flung.

If the distance is too long then the time taken in data transfer shall be really high.

One can use the ping command for solving out the purpose to some extent. The ping commands communicated by you shall tell the exact milliseconds taken by the data in being transferred.

By doing this, one can literally select multiple servers along with a particular reliable connection. One must choose to pick the closed server so that one gets the highest possible connectivity speed.

Best VPN for torrent service allows the users to authenticate their key sizes there by speeding up the connection. Maximum of the VPN service providers have been seen to allow one to lower down the control channels up to 126 bits thereby making the connection reducing the connection time.

You can additionally speed up the connection speed by replacing the host name with your IP address. The direct running of the VPN connection CPU lowers down the overall connection time thereby making your VPN speed faster.

The VPN that runs upon a router is not that worthy as compared to the one that run upon CPU connections.

The major utility of best torrent VPN service is to mask the identity of the user while surfing internet. This particular tool is often helpful in rendering security and privacy to its users.

Somehow, majority of the VPN providers may claim offer ultimate words for the users. However, the only way to find out their reliability in long run is by checking where they are keeping logs or not.

VPN or virtual private network is no longer restricted to be used specifically at work. Currently, VPN is being used for preventing snoops from eavesdropping over the online activities, no matter whether that is government, marketers and someone malicious.

With VPN service providers, organizations are not required to rent T1 lines for achieving a fuller and secured connection.

The VPN services tend to allow one to use the public network infrastructure that tends to include internet for making these connections and tapping into the virtual network via much cheaper locally available leased lines or just broadband connections to an internet service provider.

Tips for Finding the Best SEO Content Writing Service

Nowadays, it is possible for people to get their content needs fulfilled by doing a quick search on the internet and locating an able writer. The internet is at your disposal to provide you some of the best content you want and in a very short period of time, too. As a matter of fact, the SEO content services are also ready to provide customized services in order to meet the needs of every individual customer.

It is also necessary for people to ensure that a writing service doesn’t provide copied or plagiarized content from the web. Another important feature that good writing services have is that they enable the client to have complete control over the writing process. This means that the client can make any changes in the writing process or content as per their needs.

writing

A good seo content writing service will be one that delivers high quality work promptly. Thus, a service that’s able to meet the deadlines set by clients, but without making any compromises in quality is a very good choice for meeting the content needs of individuals and businesses.

Caution should be exercised when people are checking the various content writing service that can be found online. People should never place an order before they have determined the fee that will be charged and the writing and delivery process. The services might turn out to be more costly than one had anticipated if the proper questions aren’t asked.

Last, but definitely not the least, people should also ensure that the service is genuine and not a scam and can offer quality work. Hopefully it becomes easy to choose the best writing services with these instructions and guidelines. Just follow them when you are in need of finding the best article writing services.

Important Things To Remember When You Search For Commercial Real Estate Agent in California

When you are making your selection of real estate agent then you should be very careful about efficiency of the selection because when you will select Commercial Real Estate Agent in California then you will get the opportunity to avail the benefits of best real estate services.

If you want to stay away from all kinds of confusions and wrong selection then here I am sharing with you some of the most important things that you should necessarily keep in mind when you search for the real estate agent for your requirement.

real estate 1

  • See the reputation of real estate agent. If you are hiring commercial real estate broker then you should make sure that the real estate broker of your choice is well reputed. Internet will help you to do the reputation check quite efficiently.
  • Give your preference only to the best and most efficient real estate brokers because this will help you to ensure that you get best services. You should make sure that the real estate agent that you have selected for your requirement is well educated and skilled.
  • Another most important aspect that you should check in this matter is the legal authority and professionalism of the commercial real estate agent. This is necessary requirement of this selection because this is the only thing that can help you to make best selection that can ensure you best results exactly according to your expectations.

Making the selection of real estate agent is really very easy if you will simply give your preference to the right research procedure. So, what are you waiting for? Start your research and find the best real estate agent today.

Blogging Business on Internet: One of the best residual income opportunities

You can make money blogging which may be enough to just quit your day job and deal with free blogging journey independently, being your own boss. But going for blogging and knowing how to blog is not as easy as you think.

You may think that you have various eBooks out there which can teach you this. But beware of those most of the eBooks which does not show you the right and effective results. Also be careful about investing in these eBooks as many of them you can just get online for free.

blogging business

What makes you attract towards this free blogging business is the talks you heard of several bloggers and webmasters who are simply earning thousands of dollars each day and successfully keeping up their goal to make money blogging. But you never heard about the history which showed them this successful way.

Marketing and blogging for money tips are always on top of news in this free blogging world of businesses online. And this is one of the best residual income opportunities online for you. You should be aware of about how to blog and how to gain link popularity for your online business blogs by effective link building strategies if you are aiming to get most from your online blogging business.

Each and every blog in this blogosphere, is made for certain reasons. Some are merely for sharing the knowledge, some are dedicated and professional and created for earning money and some are the personal ones which are created as a personal diary by the users.

If you are among one of these and want to earn extra money from your blog, you should add some of the online advertising to it and you can be earning loads of money if your blog is different and knowledgeable to attract some audiences.

blogging

There are many of the most reliable free blogging platforms that are popular and have all the important features for you to get started. These allow you to post your content online to get visibility in front of the whole world.

WordPress.com is a popular and free to use blog provider. This is one of the biggest free web space services on the net where bloggers can create blogs for free. Here you can register for a free blog in just minutes.  You will get a sub-domain plus an online editor where you can post your content, update posts, delete entries, etc. with your free blogging platform which makes your blogging experience easy.

When you have started with the blog of your own, you can get the help of sites such as http://pureresiduals.com/ which helps you a lot for earning money through your blogs. Here you can learn about the best online business opportunities.

And also you can know about the top affiliate programs that can help you make good online money without any fail. You should definitely check the site if you want to enhance your business profits online in the blogging.

Trading In Gold Over Forex Trading

Gold and silver jewels apart from a symbol of pride and beauty turned to be the centerpiece of tradition and legacy. Investing and trading in gold is one of the most lucrative and favorite alternative investment form for investors today.

gold trading

In this present scenario it is the best time to purchase or invest or trade in gold.  Market for this precious metal seems to be sturdy nowadays. Whatever the rate increases it is found that the sales of gold and silver never loves to come down.

The amazing fact is that at present thousands of dollars’ worth precious metal investment is made through online. Yes now you can trade in your precious metal without making a move from where you are.

Wise men look for better advices when it is the time to trade in gold or silver or in forex? And as per the current reviews and advices, gold can be one of the most profitable from all. However for the small investors or for those who are new to market it is advisable to follow the advice of a reliable broker before they enter the market. This lowers down the chances of loss.

Trading in gold is not a tough task as you think with reliable trade gold hiwayfx brokers there to help. For a non-savvy investor, who has least knowledge about trading in gold profitably, brokers such as these are very much helpful.

You just need to register with them and believe me, you can start trading in just less than 2 minutes. So why not join today and get the advantage of low spreads and high volatility.

How To Choose An International Search Engine Optimization Service?

If you plan to reach out to an international audience, you need to seriously think of international search engine optimization. SEO or search engine optimization is the process of increasing your brand awareness and web presence to attract highly targetted visitors to your website.

seo

Highly targeted visitors will convert better resulting in a better return on investment (ROI) for your company. When online performance marketing is applied, it will help increase the sales volume of your business and eventually the profits. This article provides an overview of how to find the right SEO partner for your business.

Selecting Reliable International Search Engine Optimization Company

Choosing a reliable international search engine optimization service is not the easiest task with so many SEO services operating across the world. You may find millions of companies when you do a search for global SEO companies in Google or any other search engine. How will you decide on the best SEO service of all the service providers on the net? This is the biggest problem faced by a majority of consumers when they search for a global SEO agency.

If you need to reach out to a global audience, your website should be developed in many international languages other than English. Germany, France, and many other countries in Europe have a sound consumer base who are buying products and services using the internet. If you want to target these consumers, you need to have your website optimized in these languages too. This is where you will require the services of a knowledgeable and experienced international search engine optimization company.

Look For Online Performance Marketing

There are many quantifiable and qualitative signals to look for when picking the right global SEO service for your business. The most important thing to keep in mind is to look for someone who can provide online performance marketing effectively. Request the potential SEO services company to provide case studies and contacts from similar industries and sites similar in size to your website. This proves the agency can handle your work without any issue. Customers testimonials and reviews are extremely important in this regard. If testimonials are not published on the agency’s website, make sure you ask for them before finalizing the agreement with the potential service provider.

Make it a point to call some of their current clients to see if they are satisfied with the results achieved by the SEO company so far. Ask for their methods. A reliable SEO company will not hesitate to divulge the essentials of their methods. Black hat techniques may work well, in the beginning, to rank your website higher in the search engines, but they can penalize your site after some time. This is why you need to avoid any SEO services that use black hat SEO techniques.

Backlink quality is more important than quantity these days. You cannot spam a few thousand links and get on top of Google these days. Quality backlinks are essential to rank higher in the search engines and are a backbone of every online performance marketing campaign. Hence, find a company that does a quality job in ranking your site in the search engines. These are some of the most important factors to consider when picking the right international search engine optimization.

Tips To Make The Selection Of Best Criminal Lawyer Of Lake City Florida

Usually, when people see that the internet is filled with just too many options of the search then this becomes the reason of their worries and that is why they could not understand exactly how can they find best results of their research on the internet without any kind of confusion and wastage of time.

Criminal Lawyer

Well, in this process of research for lawyer of Lake City Florida on the internet, you would need to pay attention to all the important details of research that will help you to be good and precise at research which will automatically increase efficiency and reduce time requirement.

Search Easy: Don’t complicate your search with big search phrases, keep them short and precise.

Certification: Choose the best suitable search results of criminal lawyer and then check their certification to know their abilities and specializations. When you will choose the certified, specialized and appreciated lawyer then you would be able to get better results as well.

Reputation: See what other people and customers are saying about the lawyer that you are going to select. You should only prefer the lawyers with best or at least good reputation on the internet.

Experience: Check the experience of lawyer of Lake City Florida before finalizing your decision.

Reviews: Read reviews of other customers to know more about the efficiency and suitability of lawyer’s services which will help you to make the wise choice.

Prices: Final step in this process would be the proper enquiry about fees and costs of all kind. There should be no hidden costs left to enquire when you are done.