Making It Tough To Live Overseas?

The Living In Guanajuato blog discusses issues of interest to Americans living in Mexico. Here is an excerpt from a recent post that gives some information that I find surprising about some issues that come up in my practice from time to time:

If you are retiring here know that the American government does not trust direct deposit into Mexican banks. If you get Social Security and want it deposited into a Mexican bank, this can be done. But, here is how it works.

What SSA does is transfer it to the bank of the American Embassy in Mexico City. From there it is sent to your Mexican bank account. ...

Well, I can hear you pontificate, I have my Social Security deposited to my bank account in the States.

Well...I respond...the US Feds will eventually figure out that you do not really live in the States and will snatch your account right out from underneath you.

For real, I am not joking. Unless you live in the States, and they will verify this, you have to have a Mexican Bank account and will have your American bank account seized. You have to live FULL TIME in the States to maintain your American Bank account. If you put your daughter's address, or whoever, down as your place of residence, and someone's American phone number, they will check this out. ...

Now, let's say you get your SSDI or SSI payment on the third of the month. According to the SSA Rules, when your payment date falls on a Saturday or Sunday, that is the third of the month falls on a weekend day, then you should be paid on the Friday before your payment date. Get that? If you get your check on the third and the third falls on a Sunday, then you'll be paid on the first which would be a Friday. ...

If your payment date falls on the third of the month and the third is on a Saturday or Sunday, you will not get paid on the first which would be a Friday. You will get paid sometime that following week and when exactly is anyone's guess.

I am concerned that the person writing this may not know what he or she is talking about. I was unaware of any problem with receiving direct deposits of U.S. Social Security benefits to U.S. bank accounts while living overseas. The issues may be different in other countries. I expect that the U.S. does make direct deposits to banks in Western Europe, for instance. Having the U.S. Embassy in Mexico re-forward direct deposits to Mexican bank accounts sounds bizarre. I guess my advice in the future will be to check with the nearest U.S. Embassy or Consulate about the process for receiving U.S. Social Security benefits while living overseas.

Update: I have received e-mails telling me that Living in Guanajuato has everything wrong. Americans living abroad have to let Social Security know they are still alive each year. Otherwise there is no problem with Social Security direct deposits to either U.S. or foreign banks. I am sorry to have posted another person's nonsense.

We Have a Winner

From FedBlog:

So it wasn't exactly an episode of Iron Chef. But it was a lot more fun. The Office of Personnel Management on Wednesday hosted its first "Feds Get Fit Cook-off," as part of the agency's governmentwide initiative to promote healthy living among the federal workforce. Melissa Knoll of the Social Security Administration walked away with the top prize, wowing judges with her tomato curry coconut soup with shrimp.

India Still Pressing For Social Security Treaty With The U.S.

India is still pushing for a Social Security treaty with the United States. This may be a non-issue in this country but it is a big deal for India. I get a ton of hits every time I post anything about this.

A New Line Of Attack

I am not sure of the validity of the statistical model he cites but our old friend Andrew Biggs is promoting a new argument for abolishing Social Security. I think we can expect to hear this argument coming from the mouths of Republicans in the future. I hope they make it a big campaign issue this Fall.

Bomb Threat In Abilene

The Abilene Reporter-News reports a bomb threat on Wednesday at the Abilene, TX Social Security field office.

Two New ALJs To Fargo

North Dakota Senator Byron Dorgan has announced that two new Administrative Law Judges (ALJs) are being assigned to Social Security's Fargo hearing office. Dorgan had earlier called for more staffing to reduce the backlog in North Dakota.

Poor Servive In Rhode Island

From the Providence, RI Journal:

At around 11 a.m. on Monday, Doreen Haworth arrived at the local Social Security office to help her brother regarding a claim for benefits.

She did not emerge for two hours. “It’s packed in there,” she said as she left the one-story building on Pleasant Street. “You’re lucky to get a seat.” It is the same whenever she visits the office: “Long waits,” said Haworth, of East Providence.

At many Social Security offices across the country, people are encountering an increase in wait times, busy signals and delays, according to a report last week by the U.S. Government Accountability Office, the audit arm of Congress.

This undermines trust in Social Security and undermines trust in the government's ability to do anything right.

Seven Months For Fake Anthrax Scare

From the Cullman, Alabama Times:

A federal judge has sentenced a Haleyville man to seven months in prison after authorities say he mailed a letter containing white powder and photos of the 9/11 attacks to the Social Security Administration in Cullman.

U.S. District Judge Karon Bowdre also sentenced 41-year-old Patrick Bryant Wilson to three years of supervised release, including seven months of home confinement.