It seems there's always something new happening on the Social Security front. This week is no exception. A recent report in the Southeast Farm Press highlighted the importance of knowing the provisions of Social Security, both in terms of Supplemental Security Income and Social Security Disability Insurance, for farmers and workers in the agricultural industry who happen to be self-employed. The information will likely resonate with self-employed residents all over the state of Georgia, both inside and outside the farming trade.

The report sought to enlighten farmers on the benefits of knowing the ins and outs of Social Security protocol when it comes to disability or survivor benefits. While the majority of farmers think of Social Security in terms of retirement, knowing about available benefits and taking each into consideration may be helpful in planning for the future. And given the volatility of both the SSI and SSDI programs, the more people know, the better off they maybe.

The majority of full-time farmers are self-employed. That means they pay FICA taxes -- the taxes that house Social Security contributions -- that amount to just over 13 percent of their annual income. Of that 13 percent, just over 10 percent goes to Social Security. The Social Security Administration uses the amount of money paid over the years to determine retirement-age benefits.

Because the amount paid is in direct correlation with a person's earnings, the government takes the highest 35 years of a person's income to calculate individual benefits. A caveat: not paying FICA as a self-employed individual -- for example, if a married couple files under one name for tax purposes -- could equate one with a person who has never worked in the eyes of the Social Security Administration, meaning that person might not be eligible for benefits unless a spouse dies or they both reach retirement age. This is important to know as it's not uncommon for a person to sustain an injury while doing farm work.

It has been recommended that self-employed residents, in Georgia and elsewhere, learn about their eligibility for certain Social Security benefits. This is especially true in the event of a tragedy like death or disability. In these cases, knowing more about SSI and SSDI can be extremely beneficial.

Source: Southeast Farm Press, "Social Security: It pays to know all the provisions," Warren Schauer, Jan. 24, 2012