Do you folks have a means test to determine if you receive the old age security monthly pension cheque as it is know in our country
We have a means test
I know because I did not receive one cheque for an entire yr due to high income level
I was over the personal income level and thus lost my cheque
I was rather put out, but I suppose I see the reason why
The gov't decided above a certain level of income, a person does not need gov't pension money
Our means test is very high
A bunch more than 100,000.00/yr
We transferred a farm into our Co. farm and some how got caught with gov't red tape in the process, as the farm was worth a lot more than 100,000.00 plus normal income
I did not actually make the extra money but the rules said I did as I was also the owner of the Co. farm unit
That was when I learned about our means test which I knew, in advance, from our tax lawyer, but in the long run, had to be done or each yr there after, income tax would be higher
Less than 500,000.00 of Corp earnings is taxed at 15%
So: I bite the bullet and lost my old age pension, for I yr., but saved on each yr there after with lower Corp. income tax, so long as it stayed in the Co. and Corp income was less than 500,000.00
Corp tax and personal income is such a pain in our country, but it is designed to help small Corp with lower rates of tax
Do you folks have a means test for old age gov't pension
Most of our bigger farm units are incorporated due to high personal tax rates
Nothing special, just curious how different countries tax the working people and pension monies
Sure wish we had a tax reduction like you folks did, but I suppose we have to pay our dues for social health care, some how.
Wayne, once we receive Social Security it can not be taken away. The only means testing comes in the form of taxes on income above a certain amount.
By the way, we call the payment an entitlement, since we paid into the fund.
I would be in favor of some types of means test here, if it is needed to keep the system solvent.
I look at it a Social Security Insurance, hence SSI. All your life it gives you insurance you won’t be totally destitute. Whether due to disability or old age. It’s insurance, you pay into it hoping you won’t need it but it’s there if you do.
No one considers fire insurance as an entitlement. We pay into it and it covers us. We don’t expect to get it back.
I would say if at 65 I have a $100K income I don’t need an insurance payout. If however at 90 I have little income, then fine.
mcfarm said, " I would be in favor of some types of means test here, if it is needed to keep the system solvent … . No one considers fire insurance as an entitlement. "
From google : " The benefits paid out by the Social Security retirement program are not
expected to be more than what's paid into the trust fund (and the interest created by the trust fund) until the year 2019.
" The shortfall is expected to be covered by the trust fund until the year 2032, at which point tax income is expected to cover only 96% of scheduled disability benefits. "
IMHO, if the Government can bail out the banks to the tune of $800,000,000
... twice ! ... , there should be no problem giving retirees what they are entitled to.
With fire insurance, you don't get money back if your house doesn't burn down.
carl, I would rather not be quoted. esp with someone else's statement
mc, when there are multiple contributors to a thread, I address and quote the particular person to whom I offer a comment. I would like to see every one do that.
In this thread you had a legitimate argument.
carl, that is what my subtle hint was about. I never made any comments here. It was someone else. Thanks in advance.