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How to Claim Social Security in Billings, MT

Posted on by Tim Bauer
26
Jun

The Social Security program was created in 1935 when President Franklin Roosevelt signed the Social Security Act into law. Social Security was designed as a way to provide economic security for American retirees, widows, children, and those who are disabled. Due to the various ways of receiving social security benefits and the requirements for qualifying, the process of claiming Social Security can feel daunting. 

If you live in Billings, MT, and are looking to file for Social Security, you have the added benefit of a physical Social Security office. However, in many cases, it still makes the most sense to file online due to the automated filing processes the Social Security Administration has put into place. 

At any rate, this post will help you to gain a better understanding of how to claim Social Security in Billings, MT, and what to expect once you file.

Understanding Social Security Benefits 

To begin, Social Security has many different functions and use cases. While there are multiple types and variations of benefits, we will focus on the three most common benefits in this post.  

Retirement 

This is probably the most common type of benefit most people think of when they think of Social Security. This benefit provides a monthly income payment to those who are in partial or full retirement, beginning as early as age 62. The funding of Social Security Retirement(SSR)  benefits comes from a tax placed upon employed workers’ salaries. This tax is 6.2% up to the Social Security wage base (176,100 in 2025).

Social Security Retirement benefits make up a significant portion of the majority of retirees’ income in retirement, sometimes as much as 50-75% of a retiree’s total income. While Social Security was not intended to be a replacement for a retiree’s income while working, it can provide a substantial supplement to their monthly income stream.

Disability 

Social Security Disability(SSDI) benefits can fill a necessary gap in income for those who experience a temporary or permanent disability that prevents them from being able to provide for themselves or their families. In this way, it allows for a family to have economic security in the case of lower income, education, or increased expenses to adapt to the lifestyle needs of a disability. 

SSDI benefits can be claimed for those who are disabled themselves or for a dependent who is disabled. SSDI benefits also extend to those who are disabled due to military service or other types of medical conditions. A full list of the criteria to apply for SSDI can be found at the SSA Disability Website.

Survivor Benefits 

Social Security Survivor benefits provide monthly payments to eligible family members of a deceased worker who paid Social Security taxes during their lifetime. These benefits can be received by surviving spouses, divorced spouses, children, and dependent parents of the deceased worker. 

Social Security Survivor benefits carry various unique characteristics. One of these is that a surviving spouse can collect survivor benefits as early as age 60, which is earlier than any Retirement benefit. Another unique feature is that there is a family maximum for survivor benefits for a family with a deceased parent with minor children. It is important to take note of these features when applying for benefits to get a more accurate idea of your end benefit amount.

Important Terms to Remember When Applying for SSR

For claiming, we will focus mainly on Social Security Retirement benefits since they are the most commonly claimed benefit. While we won’t be doing an exhaustive review of when to apply for Social Security Retirement benefits, this will still provide some good information to evaluate when it might be best for your situation. 

When claiming Social Security Retirement benefits, it is important to consult with all of your available resources, beginning with a trusted Financial Planner. This is a crucial step, since Social Security is intertwined with all aspects of our lives as Americans. From taxes, to insurance, to retirement—the list is long. 

Social Security is a very complex system. As such, the formula for calculating the amount of benefits you will receive in retirement is very in-depth. When you add in external factors such as income, work history, dependents, pensions, and other financial criteria, the simple question of “when should I take Social Security?” becomes much more involved. 

Here are a few of the most important key terms that you will encounter when evaluating your Social Security benefits:

  • PIA: Primary Insurance Amount. This is the amount of benefits you are entitled to based on your work history and earnings. 
  • FRA: Full Retirement Age
  • AIME: Average Indexed Monthly Earnings. The dollar amount used in calculating your monthly Social Security benefit if you attained age 62 or became disabled (or died) before 1978. The AME is determined by dividing the total earnings in the “computation years” by the number of months in those same years. 
  • Fully Insured: Having earned at least 40 quarters of coverage (QCs). This typically translates to working in a job covered by Social Security taxes for 10 years.
  • Currently Insured: Having at least six quarters of coverage (QCs) during the 13-quarter period ending with the quarter you died, became entitled to disability benefits, or became entitled to old-age benefits. 
  • Credits: The amount of earnings required to qualify for eligibility for retirement benefits. In 2025, 1 credit is earned for every $1,810 in earnings, up to 4 credits per year. 

The two most important factors here are how much income you made and how long the duration of making it was. Your monthly Social Security payment is calculated based on your Average Indexed Monthly Earnings, which are your 35 highest years of earnings. Using these two numbers together, the calculation is made to determine your exact Primary Insurance Amount.

When Should You Claim Social Security?

Social Security can be claimed at various ages—the most common being 62, 66-67, and 70. Age 62 is the earliest someone can apply for benefits and is considered “Early” or “before Full Retirement Age”. As a result, the amount of benefits a retiree can claim is reduced for every month a retiree claims benefits before their Full Retirement Age(FRA). FRA is determined by a retiree’s date of birth and can be located on the Social Security Website or on your Social Security statement. 

There are pros and cons to filing at different ages. The first and most obvious trade-off comes in the form of your monthly benefit amount. Filing early allows you to begin realizing your benefits at an earlier age. However, in exchange for taking your benefits early, you receive a permanent reduction in your benefit amount over your lifetime. Generally speaking, someone with a shorter life expectancy and/or a desire to use their benefits earlier rather than later is a more common candidate for filing for benefits early. 

One particular disadvantage to filing early for Social Security Retirement benefits is that your benefit is reduced if you work a part-time job and make above the annual earnings limit($23,400). 

By contrast, filing for benefits at Full Retirement Age(FRA) opens up a few more advantages. The main advantage is a higher benefit amount than at an earlier age. Another advantage to waiting until FRA to take Social Security Retirement benefits is that there is no reduction in benefits for working a part-time job, and there is no limit to the amount of earnings you can make and also receive benefits.  

The third most common filing age for Social Security Retirement benefits is at age 70. The primary benefit to waiting until age 70 to file is that you receive the maximum benefit amount. From FRA until age 70, there is an 8% increase in your benefit. From a financial perspective, this is one of the few guarantees that offer a stock market-like return with virtually no risk!  

How to Apply for Social Security Benefits in Billings, MT 

Once you’ve done your due diligence, consulted a credentialed CERTIFIED FINANCIAL PLANNER ®, and are ready to file, you have three options to file your application for benefits: 

  • Online through the Social Security Administration (SSA) website. 
    • Due to the efficiency of online systems and processes, the SSA prefers online filing for multiple reasons. Most of their This is also the fastest way to receive your first benefit payment, among all of the filing options. 
  • By phone via the SSA national line or local office.
    • While this may sound like the simplest option, the wait times to speak with someone at the SSA can exceed multiple hours. 
  • In person at the Billings Social Security office 
    • If you prefer to go to the physical office, scheduling an appointment is recommended. This could save you many potential hours of waiting. 
    • The contact information for the office in Billings, MT is: 
      2900 4th Ave N, Billings MT 59101
      1-866-895-1795
      https://secure.ssa.gov/ICON/main.jsp

FAQs (and Answers)

  • What documents do you need to apply?
    • The SSA has compiled a list of FAQs to assist when you want to learn more about your options. You can locate the list of FAQs here: https://www.ssa.gov/faqs/en/ 
  • How long does it take until benefits start?
    • It generally takes 1-3 months to receive your first benefits payments after your initial application. You can apply up to 4 months before you want to receive your first payment. 
  • How to appeal a Social Security decision
    • If you’ve applied for benefits and believe there is an error, you can appeal the SSA’s decision by clicking “Appeal a decision we made” on the home page of ssa.gov. 

Maximizing Your Social Security Benefits 

To make sure you get the most out of your Social Security benefits, there are multiple strategies you can employ. If you are widowed and are eligible to claim benefits on your deceased spouse, make sure to check into the amounts that you could be receiving. Many times, you can begin taking survivor benefits at age 60 and then later switch to your benefit(if higher). 

If you are married and you and your spouse could use the extra income before you reach Full Retirement Age, a general rule of thumb is to have the lower-earning spouse claim their benefit early, while the higher-earning spouse delays their benefit until FRA or potentially even age 70. This allows you to maximize the higher benefit while still seeing the benefits of higher income at a younger age. 

As always, make sure to consider the tax implications of taking Social Security benefits in light of your overall financial situation. Up to 85% of your Social Security benefits could be taxable, depending on your other income. However, if you have the opportunity to accelerate your income prior to claiming Social Security, this could result in a lower amount of your benefits being taxed. Consulting with your financial, legal, and tax professionals is always a prudent and necessary step before making any large financial decisions. 

If you’re reading this post and are at the point in your life where you are about to begin receiving Social Security benefits, congratulations! The key to getting the most of your benefits is to begin the process early. Make sure you are incorporating multiple aspects of your financial situation into your decision, as there are many different factors involved that will affect other areas of your financial life. If you need help coming up with a plan for Social Security, let us help you by being your guide through this journey. 
Reach out to us today to learn more or schedule an initial Discovery Call. 

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This content is developed from sources believed to be providing accurate information. Please consult legal or tax professionals for specific information regarding your individual situation. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Evergreen Financial Group, LLC is a registered investment advisor offering advisory services in Montana, Utah, Wyoming and in other jurisdictions where exempted. Registration does not imply a certain level of skill or training. This communication is for informational purposes only and is not intended as tax, accounting or legal advice, as an offer or solicitation of an offer to buy or sell, or as an endorsement of any company, security, fund, or other securities or non-securities offering. This communication should not be relied upon as the sole factor in an investment making decision. All opinions and estimates constitute Evergreen Financial Group’s judgement as of the date of this communication and are subject to change without notice. Evergreen Financial Group does not warrant that the information will be free from error. The information should not be relied upon for purposes of transacting securities or other investments. Your use of the information is at your sole risk.  

Tim Bauer