paycheck

The ongoing government shutdown continues to disrupt flights at times and put pressure on air traffic controllers, who are working without pay.

On Friday evening, airports in Phoenix, Houston and San Diego were reporting delays because of staffing issues, and the Federal Aviation Administration warned that staffing problems were also possible at airports in the New York area, Dallas and Philadelphia.

A day earlier, flights were delayed at New York’s LaGuardia Airport, New Jersey’s Newark airport and Washington’s Reagan National Airport because of air traffic controller shortages. The number of flight delays for any reason nationwide surged to 6,158 Thursday after hovering around 4,000 a day earlier in the week, according to FlightAware.com.

Many FAA facilities are so critically short on controllers that just a few absences can cause disruptions, and Transportation Secretary Sean Duffy has said that more air traffic controllers have been calling in sick since the shutdown began. Early on in the shutdown, there were a number of disruptions at airports across the country, but for the last couple of weeks there haven’t been as many problems.

Duffy said the disruptions and delays will only get worse next week after Tuesday’s payday arrives and “their paycheck is going to be a big fat zero.” He said controllers are telling him they are worried about how to pay their bills and frustrated with the shutdown.

“The stress level that our controllers are under right now, I think is unacceptable,” he said at a news conference Friday at Philadelphia International Airport.

The shutdown is having real consequences, as some students at the controller academy have decided to abandon the profession because they don’t want to work in a job they won’t be paid for, Duffy said.

That will only make it harder for the FAA to hire enough controllers to eliminate the shortage, since training takes years. He said that the government is only a week or two away from running out of money to pay students at the academy.

“We’re getting word back right now from our academy in Oklahoma City that some of our young controllers in the academy and some who have been given spots in the next class of the academy are bailing. They’re walking away,” Duffy said. “They’re asking themselves, ‘Why do I want to go into a profession where I could work hard and have the potential of not being paid for my services?’ ”

The head of the air traffic controllers union, Nick Daniels, joined Duffy. He said that some controllers have taken on second jobs delivering for DoorDash or driving for Uber to help them pay their bills.

“As this shutdown continues, and air traffic controllers are not paid for the vital work that they do day in and day out, that leads to an unnecessary distraction,” Daniels said. “They cannot be 100% focused on their jobs, which makes this system less safe. Every day that this shutdown continues, tomorrow we’ll be less safe than today.”

Airlines and airports across the country have started buying controllers meals and helping them connect with food banks and other services to get through the shutdown.

The greatest concern is for new controllers who might make less than $50,000, but even experienced controllers who make well over six figures while working six days a week may be living paycheck to paycheck without much cushion in their budgets. Daniels said it’s not fair that controllers are facing impossible choices about whether to pay for rent or child care or groceries.

Duffy has said that air traffic controllers who abuse their sick time during the shutdown could be fired.

Republicans and Democrats have been unable to reach an agreement to end the shutdown that began on Oct. 1. Democrats are demanding steps be taken to avoid soaring healthcare premiums for many Americans set to take effect under the GOP spending law adopted this summer. Republicans have said they will negotiate only after ending the shutdown.

The airlines and major unions across the industry have urged Congress to make a deal to end the shutdown.

Air Line Pilots Assn. President Capt. Jason Ambrosi said in a message to his members that he’s concerned about air traffic controllers and other federal employees.

“The safety of millions of passengers and tens of thousands of tons of cargo is in the hands of these workers. Worrying about how they’ll make their mortgage payment or pay for day care is an added stress they do not need,” Ambrosi said.

Democrats have called on Republicans to negotiate an end to the shutdown. Rep. Sam Graves (R-Mo.), chairman of the House Transportation and Infrastructure Committee, put the onus on Democrats.

“Our aviation system has operated safely throughout the shutdown, but it’s putting an incredible and unnecessary strain on the system, and on our air traffic controllers, flight crews, and many other aviation professionals,” Graves said.

Funk writes for the Associated Press. AP writer Rio Yamat contributed to this report.

Social Security was never meant to make up the entirety of anyone’s retirement income. The fact is, however, some people are collecting surprisingly big checks. This year’s maximum-possible monthly payment is $5,108, or $61,296 per year. That’s almost as much as the median salary U.S. workers are currently taking home, according to data from the Bureau of Labor Statistics.

How did they do it, and what will it take for you to do it as well? Here’s how to get the very most you can out of the government-managed entitlement program.

Image source: Getty Images.

1. A minimum of 35 years’ worth of work-based taxable income

There are three components to your future Social Security benefits. One of them the sheer number of years you earned taxable income as an employee. You’ll need to work for at least 35 years to maximize your payments.

See, when calculating your monthly benefit, the Social Security Administration looks at your inflation-adjusted income in your 35 highest-earning years. You don’t have to work a full 35 years to claim benefits, to be clear. It’s just that for any year less than 35 that you don’t earn any reported income, the program fills in those blanks with a value of $0, dragging down your annual average.

Conversely, working more than 35 years won’t necessarily help, since you only get credit for your best 35. There may still be an upside to working more than 35 years though. If you didn’t earn a great deal of money in some of them but are making good money now, you’ll be replacing some of those lower-earning years with higher-earning ones, raising your overall average of your top 35.

2. Strong earnings for at least 35 of those years

It’s not just a matter of making good money for a minimum of 35 years though. You must earn well above average earnings for that length of time, reaching or eclipsing Social Security’s taxable income threshold in each of those.

And these thresholds are pretty high. This year, for instance, the program doesn’t stop increasing your FICA tax liability until you reach earnings of $176,100. Here’s the minimum amount of taxable wages you would have needed to earn each and every year going all the way back to 1986 to max out your future benefits payments.

To be clear, although you pay into Social Security’s pool of funds via taxes on wages up to these amounts, you don’t pay additional FICA taxes above and beyond these amounts (although you do pay ever-rising income tax the more money you make, since tax rates rise the more you earn). The program stops taxing you beyond these levels because it wouldn’t offer you any additional benefit in return. Again, the absolute ceiling is $5,108 per month.

3. Waiting until you turn 70 to claim benefits

Finally, although you can initiate your Social Security retirement benefits as soon as you turn 62, doing so would dramatically reduce the size of your check by as much as 30% of your intended benefit at their full retirement age, depending on when you were born. Even claiming benefits at your official full retirement age, however, still wouldn’t get you to the maximum-possible benefit. To secure the maximum amount of $5,108, you must until you reach the age of 70 to begin your Social Security payments. That will improve the size of most people’s payments by 24% (if not more) above their payment if claiming at their full retirement age.

Just know that there’s no point in waiting any longer than this to file, since Social Security stops adding credit for delaying your benefits beyond the age of 70. In fact, there’s good reason to claim pretty soon after you reach this point. The Social Security Administration will back pay you some of what it owes you if you don’t file right away. But it will only give you a maximum of six months’ worth of back pay, no matter how long after you turn 70 you claim your retirement benefits.

Prioritize what you can control

You know there’s no way you’re going to qualify for this amount? That’s OK. Most people don’t. Fewer than 20% of recipients see monthly checks of more than $3,000, in fact.

Don’t let that discourage you though. Even modest wage-earners can put themselves in a far better financial situation with their own savings than they’d ever be able to achieve with Social Security. Most calculations of Social Security contributions’ effective rate of return only put the figure in the mid-single-digits, versus the stock market’s average annual gain of around 10%.

Besides, Social Security was never meant to be anyone’s sole source of retirement income anyway. Do what you reasonably can to max it out, but mostly stay focused on maximizing the growth of your own personal retirement nest egg.

WASHINGTON — Heather Campbell lost her job working for a food bank over the summer because of federal funding cuts. Her husband serves as an officer in the Air Force, but now he’s facing the prospect of missing his next paycheck because of the government shutdown.

If lawmakers in Washington don’t step in, Campbell’s husband won’t get paid on Wednesday. Because the couple lacks the savings to cover all their expenses, they expect to survive on credit cards to pay the mortgage and feed their three children, racking up debt as the political stalemate drags on.

“You’re asking us to put our lives on the line or the people we love to put their lives on the line,” said Campbell, 39, who lives outside Montgomery, Alabama, near Maxwell Air Force Base. “And you’re not even going to give us our paycheck. What? There is a lot of broken trust there.”

The nation’s third shutdown in 12 years is once again raising anxiety levels among service members and their families because those in uniform are working without pay. While they would receive back pay once the impasse ends, many military families live paycheck to paycheck. During previous shutdowns, Congress passed legislation to ensure that troops kept earning their salaries, but time is running out before they miss their first paycheck in less than a week.

“There are so many things that Congress can’t agree on right now,” said Kate Horrell, the wife of a Navy veteran whose Washington, D.C., company provides financial advice to military families. “I don’t want to assume that they’re going to be able to agree on this.”

Paying the troops has support, but it’s unclear when a deal might pass

When asked if he would support a bill to pay the troops, President Donald Trump said, “that probably will happen.”

“We’ll take care of it,” Trump said Wednesday. “Our military is always going to be taken care of.”

Rep. Jen Kiggans, a Virginia Republican and former Navy helicopter pilot, has introduced a measure to maintain military and Coast Guard salaries, and it has bipartisan co-sponsors.

The House is closed for business until next week, leaving two days to take action before Wednesday’s payday. Missed paychecks for military service members are among the most serious pressure points in the shutdown, causing political pain for the lawmakers. Several proposals have been floated for voting on stand-alone legislation that would ensure no interruption in pay, but those are not expected to be brought up for consideration, for now.

Amanda Scott, whose husband is an Air Force officer in Colorado, said the uncertainty goes beyond the stress of just getting by — it chips away at the military’s ability to retain the best people and their readiness to fight.

“How ready and lethal are you if you don’t know if you can feed your family?” said Scott, 33, of Colorado Springs, who works for a defense contractor and volunteers as an advocate for military families. “A lot of these service members are highly skilled and can go out and make much more money in the civilian sector.”

Aid is available for service members, but it’s not enough for some families

Support is available for military families through nonprofits and charities. For example, some financial institutions are offering zero-interest loans, while each military branch has a relief organization.

But Campbell said she and her husband in Alabama can’t apply for a payday loan because they’re refinancing their house. They lack a substantial emergency fund because they were paying off student loans and moved several times in the last few years to military posts. It was often challenging for her to find steady work and child care.

“The opportunity to build up savings is really difficult on just one income,” Campbell said. “I don’t know many military families that have a month’s worth of income set aside just in case, let alone multiple months’ worth.”

Jen Cluff, whose husband recently left the Air Force, said her family was on a food aid program during the 2019 shutdown. But even the Special Supplemental Nutrition Program for Women, Infants and Children, also known as WIC, which helps more than 6 million low-income mothers and young children, would run out of federal money within two weeks unless the shutdown ends, experts say.

“We made so little and had three young children,” said Cluff, 42, of San Antonio. “We were definitely a family that had very little buffer.”

If Congress had not passed legislation to pay troops during the last shutdown, missing more than two paychecks “would have been catastrophic for us,” she said.

“Resentment can grow quickly,” Cluff said of the shutdown, adding that “the general public, and many in government, truly don’t understand the daily sacrifices our military members and their families make for our country.”

Wider effects feared in military-heavy areas

The economic impact will ripple through regions with large military footprints, like coastal Virginia, home to the nation’s largest Navy base and several other installations. The area’s 88,000 active duty service members and their families likely have pulled back significantly on spending, said Rick Dwyer, executive director of the Hampton Roads Military and Federal Facilities Alliance, an advocacy group.

“Think about service members who are deployed right now around the world,” said Dwyer, who served in the Air Force during previous shutdowns. “They’re having to wonder if their families are going to be able to pay the rent, the child care bills, the car payments.”

A shutdown contingency plan posted on the Pentagon’s website cites the use of funds to continue military operations from Trump’s big tax and spending cut bill. The Congressional Budget Office has said money appropriated to the Defense Department under the new law could be used to pay active duty personnel.

It was not clear if the funding would be used for that. The Pentagon said Thursday that it could not provide information “at this time.”

Its contingency plan says it will “continue to defend the nation and conduct ongoing military operations” as well as activities “necessary for the safety of human life and the protection of property.”

Listed among the highest priorities are securing the U.S.-Mexico border, operations in the Middle East and the future Golden Dome missile defense program. The plan also noted that “child care activities required for readiness” would continue.

Raleigh Smith Duttweiler, chief impact officer for the National Military Family Association, said most child development centers on military bases are still operating. But she said most service members pay for child care off base.

“Last I checked, my kids’ babysitter doesn’t take an IOU from the federal government,” said Duttweiler, whose husband is a Marine.

Finley writes for the Associated Press. AP writer Lisa Mascaro in Washington contributed to this report.