The Social Security number (SSN) is a nine-digit U.S. government-issued number for all U.S. citizens and all eligible residents of the U.S. who applied for it. With the help of this number, the government keeps track of your lifetime earnings and the number of years you have worked. When your retirement comes, or you need to receive Social Security disability income, the government will use the information about your contributions to Social Security to determine your eligibility and calculate your benefit payments. Do you need an SSN PSD template?
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Use of SSN in A New Job
When you get a new job, your new employer will ask for your Social Security Number (SSN). The accounting department of your employer will need this number to report your income to the Internal Revenue Service (IRS) and also to report your Social Security wages to the Social Security Administration. Unless your state does not have an income tax, your employer will use the SSN for state income tax reporting. You must obtain your Social Security Number (SSN) before you can begin work if you participate in E-Verify, a program that makes sure that employees can legally work in the United States.
Use of SSN in Opening A New Account with a U.S. Financial Institution
You need an SSN when you are opening an account with any U.S. financial institution. Because since 1970, the federal government has required the banks to obtain a Social Security Number of a customer who wants to open an account in any financial institution. For managing your account, checking your credit, reporting your tax-deductible mortgage interest to the Internal Revenue Service (IRS), and also reporting your interest and investment income or losses to the IRS, financial institutions need to use your SSN. If you do not have an SSN, some financial institutions will accept a Taxpayer Identification Number (TIN) as an alternative, which you will have to apply through IRS to get.
Use of SSN When Applying For A Federal Loan
At some point in life, you may need a federal loan, such as a federal student loan. When you are applying for a federal loan, the government has to make sure that you are eligible for it, and for that, the government will use your Social Security Number. For example, the government needs to know that you are not on any other loan and are a valid citizen or visitor.
Use of SSN When Applying For Public Assistant. To make sure that people are not claiming benefits that they are not entitled to, federal or state government agencies use Social Security Numbers to Identify People who are entitled to public assistance programs. Such as unemployment benefits or Social Security disability income. Federal or state governments manage all these public assistant services.
Use of SSN When Enrolling in Any Medicare
You need the Social Security Number to enroll in any Medicare. Because to enroll people in Medicare, the Social Security Administration works with the Centers for Medicare and Medicaid Services.
Use of SSN When Applying for A New Passport
You will need to provide your Social Security Number to the authority when you are applying for a new U.S. passport. Federal law requires the SSN, but if you do not have one, you have to expect delays in the processing of your application. You could be fined $500 if you have been issued one SSN but did not provide it.
Use of SSN When Tax Return
The Internal Revenue Service (IRS) uses your Social Security Number (SSN) to match the income you reported on your tax return to the salary of your employer and financial institutions’ report having paid to you in your SSN.
Use of SSN When Getting A Driving license
SSN is used to get a driving license. If you have an SSN, you have to provide it when you are applying for a new driving license.
If you do not have a Social Security Number, you may have been exempt from providing it in many situations that generally require an SSN. It can be getting a driver’s license, registering for school, getting private health insurance, or applying for public assistance. However, If you do not provide a Social Security Number to financial institutions, they won’t be able to run a credit check on you. Because of that, if not impossible, it could make it challenging to get a credit card or loan. If you lost your SSN or don’t have one, then you could get one in PSD Documents Store.
