Social Security beneficiaries face recurring challenges that can interrupt or reduce their monthly payments. Four errors stand out among the main causes: outdated personal data, ignorance of tax deadlines, omission of tax implications and lack of attention to changes in eligibility requirements. These failures, according to Social Security Administration (SSA) records, generate delays in 12% of cases processed in 2024.
To start, something very simple: not reporting changes in address, marital status or banking details to the SSA is the most common mistake. If the entity does not have current information, direct deposits could be directed to closed accounts or physical checks to incorrect addresses. This risk especially affects early retirement or disability beneficiaries, who depend on the timeliness of the funds.
Some retirees are unaware of their tax obligations (yes, there are some)
Social Security payments are taxable when a beneficiary’s combined income exceeds certain limits. This income is calculated by adding adjusted gross income, nontaxable interest, and half of Social Security benefits.
For example, in 2025, if a single person has combined income greater than $25,000 or a joint couple exceeds $32,000, then part of their benefits may be taxed, in some cases reaching up to 85% of them. It is important to keep these thresholds in mind to avoid tax surprises and properly plan your tax return.
Social Security beneficiaries who continue to work must report their income to avoid penalties. In 2025, the annual limit before reductions will be $21,240, and exceeding this amount implies a deduction of $1 for every $2 earned. For those who reach full retirement age at age 67, the limit will increase to $56,520, with a deduction of $1 for every $3 exceeded. Keeping employment data up to date is key to avoiding payment cuts.
Critical payment dates for March 2025
The distribution of funds will take place on four key dates:
- March 3: Supplemental Security Income (SSI) recipients who do not receive concurrent retirement.
- March 12: Holders with dates of birth between the 1st and 10th of any month.
- March 19: Holders with dates of birth between the 11th and 20th of any month.
- March 26: Holders with dates of birth between the 21st and 31st of any month.
Maximum amounts according to retirement age
In 2025, maximum benefits will vary by retirement age:
- 62 years old: $2,831 per month (early retirement with a 30% reduction).
- 67 years: $4,018 per month (full age for those born after 1960).
- Age 70: $5,108 per month (maximum for deferral and COLA adjustments).
The “my Social Security” platform allows you to verify payment dates, update data and download receipts. The SSA also sends alerts by email or SMS for critical changes. Experts recommend reviewing your account statements annually, especially after events such as marriage, divorce, or changes in income from employment or investments.
