Hi all, I'd accumulated some big loss few years ago but starting to have some gains recently. However, with such kind the gains, it may take 10+ years for me to get even. I am filing as a trader (tax status) now, and I want to find out:
how do I earn Social Security Credits if I have big loss the the past? or in general, how do traders earn Social Security Credits?
Any helps are greatly appreciately.
Thank you and have a nice day,
Dave
2007-04-04 19:47:39 · 2 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
You earn social security credits when you pay social security on your income. If you have earned income, you should have been paying it all along. Your social security is paid annually on your net profits only. I don't know about trader status but check out form SE. Could be an eye opener.
2007-04-04 19:58:21 · answer #1 · answered by towanda 7 · 0⤊ 0⤋
If your only income is unearned income you won't earn any SS credits. You need to either make sure you save enough for your retirement OR find a job with earned income that is subject to Social Security and Medicare taxes. If you don't do this, you'll be destitute in your "golden years."
2007-04-04 21:15:56 · answer #2 · answered by Bostonian In MO 7 · 1⤊ 0⤋