Do residency training years count into social security eligibility

[DO_or_Die]

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Was told on an interview by a PGY3 that all the years of residency don't count into the 10 years minimum for social security eligibility. I was shocked. Unsure if that resident was just unsure, or if that's the truth. Can't find this info anywhere on the internet when I google, which is why I'm here. Thank you SDN.

 

[Angler]

Was told on an interview by a PGY3 that all the years of residency don't count into the 10 years minimum for social security eligibility. I was shocked. Unsure if that resident was just unsure, or if that's the truth. Can't find this info anywhere on the internet when I google, which is why I'm here. Thank you SDN.

I'm pretty sure that as long as your hospital/employer is deducting FICA and Medicare tax from your paycheck, and as long as you earn at least something like $6k in that year, you get 4 credits per year worked (out of 40 needed to qualify for SS). Was this interview at a state or local govt hospital that chooses not to participate in Social Security? There are some local govt entities (like some schools) which have their own pensions, and they don't collect FICA/Medicare taxes from your paycheck.

I just went back into ssa.gov to look at my credits, and way back when I was a resident, my paycheck (barely $20k/yr) was taxed. I would be shocked if SS taxed you and didn't give you something in return.

 

[mvenus929]

I looked at ssa.gov eligibility, and my residency, chief resident, and fellowship years are all there and accounted for. Without those 7 years, I'd only have 5 years of eligibility, but it says I'm fully eligible now. Even the year when I only made $2500 was counted.

 

[Angler]

Even the year when I only made $2500 was counted

That was obviously a while ago (not trying to be rude). Qualifying amounts for quarters of coverage have increased over the years to the present ~ $6900 per year. Now you know

 

[DO_or_Die]

Thank you both. The institution I'm looking at has in their sample contract they you don't pay into SS but rather into an alternative adjacent like program. It's kind of strange but I believe the resident was correct in terms of this institution.

 

[Angler]

I believe that, by statute, you need to be 100% vested from day 1, if they're going to participate in an alternative to SS. There are a bunch of other conditions. It would be terrible if your pension were to vest, let's say, at 5 years, and it's a 4 year residency! This also complicates retirement planning since it's another little thing you'll have to keep records on. Best if it had a cash balance, so you could rollover into an IRA after you separate from the residency (if the plan allows).

None of this should dissuade you from ranking them, if you like the program.

 

[Helpful Troll]

I believe that, by statute, you need to be 100% vested from day 1, if they're going to participate in an alternative to SS. There are a bunch of other conditions. It would be terrible if your pension were to vest, let's say, at 5 years, and it's a 4 year residency! This also complicates retirement planning since it's another little thing you'll have to keep records on. Best if it had a cash balance, so you could rollover into an IRA after you separate from the residency (if the plan allows).

None of this should dissuade you from ranking them, if you like the program.

Some County Governments that run hospitals for example aren't paying into Social Security. Stroger Hospital in Chicago.

 

[Raryn]

Thank you both. The institution I'm looking at has in their sample contract they you don't pay into SS but rather into an alternative adjacent like program. It's kind of strange but I believe the resident was correct in terms of this institution.

This is standard for a lot of state- and local- government employees.

If your residency has you employed by the University of Statename, it's very possibly you're exempt from Social Security (but not Medicare) taxes - and therefore that income won't count towards Social Security benefits. This was true in both my residency and my fellowship, in two different states.