Social Security Remains Primary Income Source
According to the AARP Public Policy Institute’s Sources of Income for Older Americans, 2012 report, Social Security remained the major source of income for individuals age 65 or older in 2012. The average annual amount received by Social Security retirement beneficiaries was $14,229.
About 38% of total income of the 65-or-older population was from Social Security. It accounted for 80% of income for people with low or moderate incomes.
Other income sources were important
Interest income was the second most important source. Nearly half (46%) of those in this age group reported income from interest.
About 30% of this group had income from pensions and retirement savings.
Earnings from employment were received by 22% of people age 65 or older.
This report, compiled from U.S. Bureau of the Census data, is at http://tinyurl.com/AARPIncomeSources.
For plan sponsor use only, not for use with participants or the general public. This information is not intended as authoritative guidance or tax or legal advice. You should consult with your attorney or tax advisor for guidance on your specific situation.
Kmotion, Inc., P.O. Box 1456, Tualatin, OR 97062; 877-306-5055; www.kmotion.com
© 2014 Kmotion, Inc. This newsletter is a publication of Kmotion, Inc., whose role is solely that of publisher. The articles and opinions in this publication are for general information only and are not intended to provide tax or legal advice or recommendations for any particular situation or type of retirement plan. Nothing in this publication should be construed as legal or tax guidance; nor as the sole authority on any regulation, law or ruling as it applies to a specific plan or situation. Plan sponsors should consult the plan’s legal counsel or tax advisor for advice regarding plan-specific issues.