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4 things you should know about working after you turn 65

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4 things you should know about working after you turn 65

Continuing to work past the traditional retirement age gives many the opportunity to add more money to their nest egg — and delay Social Security, which will bump up their eventual benefits check. In May, 21.9% of Americans ages 65 and older were working, compared with 19.5% in May 2020, according to a study released in June by MagnifyMoney, which analyzed U.S. Census Bureau Household Pulse Survey data.

It’s important to know how working affects your Medicare benefits, Social Security and tax situation. Here are some things to understand about staying in the workforce later in life.

YOU MAY BE ABLE TO DELAY MEDICARE ENROLLMENT

If you’re still working at 65 and have access to health benefits through your employer — or your spouse’s employer — you may be able to delay enrolling in Medicare. If your company has fewer than 20 employees, you should sign up for Medicare, but if it has 20-plus employees , you may be able to put it off.

If you have the choice, compare what you would pay for group benefits with what you’d pay for Medicare, including any supplemental coverage and prescription drug benefits. “If the group coverage is less, then it may make sense to not get Part B and wait until you retire,” says Julie Hall , a certified financial planner in Ann Arbor, Michigan. (Part A is free for most people, so there’s no point in delaying that unless you have an HSA — more on that below.)

Contact your benefits department before delaying to make sure your employer doesn’t require you to enroll in Medicare.

AN HSA AND MEDICARE DON’T MIX

If you have a high-deductible health plan along with a health savings account, or HSA, be aware that you can’t save to an HSA once you’ve enrolled in Medicare. An HSA can be a valuable retirement savings tool, so it’s worth weighing your options if you have access to employer benefits that allow you to delay Medicare.

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“I see (an HSA) as a triple tax benefit,” says Diane Pearson, a CFP in Wexford, Pennsylvania, about the fact that money can be saved pretax, grow tax-free and be withdrawn pretax to pay for eligible medical expenses.

If you’re collecting Social Security, you’ll be automatically enrolled in Medicare Part A when you turn 65; if you want to save to an HSA, you’ll have to delay Social Security benefits. If you plan to enroll in Medicare and you have an HSA, both you and your employer should cease contributions at least six months before you apply for Medicare to prevent tax headaches.

YOUR EARNINGS AFFECT YOUR SOCIAL SECURITY PAYMENTS

If you claim Social Security during the last few years of your working life, your income can affect your benefits.

For instance, in 2022, your Social Security benefits will be reduced $1 for every $2 you earn over $19,560. In the year you hit your full retirement age, the calculations are different: Your benefits are reduced $1 for every $3 earned over $51,960 up to the month before the one you hit full retirement age. Once you reach full retirement age, there’s no benefit reduction , no matter how much you earn.

Additionally, your Social Security benefits may be taxed. In 2022, people filing an individual tax return with a combined income of more than $25,000 or filing jointly with a combined income of more than $32,000 will pay taxes on up to 85% of their Social Security benefits. (Social Security defines “combined income” as the total of your adjusted gross income, nontaxable interest and half of your Social Security benefits.)

“It doesn’t take a whole lot of income to get people to the point where they pay tax on a portion of their Social Security,” says Barbara O’Neill, a CFP in Ocala, Florida.

YOUR INCOME AFFECTS YOUR MEDICARE PREMIUMS

Medicare Part B and Part D are subject to the income-related monthly adjustment amount, or IRMAA. The more you earn, the higher your premiums will be.

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In 2022, you’ll pay more for Part B and Part D if your modified adjusted gross income from two years ago was more than $91,000 as a single tax filer or more than $182,000 if you filed jointly. The extra costs can add up, and experts recommend factoring this into your work plans.

“People might say, ‘I’ll work, but I can only earn so much,’” O’Neill says. “You’ve got to be careful of triggering the IRMAA.”

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This article was provided to The Associated Press by the personal finance site NerdWallet. The content is for educational and informational purposes and does not constitute investment advice. Kate Ashford is a writer at NerdWallet. Email: [email protected]. Twitter: @kateashford.

RELATED LINKS:

NerdWallet: How do I sign up for Medicare? https://bit.ly/nerdwallet-how-do-i-sign-up-for-medicare

MagnifyMoney: As pandemic continues, more older adults are working — What’s tempting them? https://www.magnifymoney.com/news/working-older-adults-study/

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Lawyers for the US tell a UK court why WikiLeaks’ Julian Assange should face spying charges

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Lawyers for the US tell a UK court why WikiLeaks’ Julian Assange should face spying charges

LONDON (AP) — WikiLeaks founder Julian Assange won’t find out until next month at the earliest whether he can challenge extradition to the U.S. on spying charges, or if his long legal battle in Britain has run out of road.

Two High Court judges said Wednesday they would take time to consider their verdict after a two-day hearing in which Assange’s lawyers argued sending him to the United States would risk a “flagrant denial of justice.”

Attorneys for the U.S., where Assange has been indicted on espionage charges, said he put innocent lives at risk and went beyond journalism in his bid to solicit, steal and indiscriminately publish classified U.S. government documents.

Assange’s lawyers asked the High Court to grant him a new appeal — his last roll of the legal dice in the saga that has kept him in a British high-security prison for the past five years.

The judges overseeing the case reserved their decision, and a ruling on Assange’s future is not expected until March at the earliest.

If judges Victoria Sharp and Jeremy Johnson rule against Assange, he can ask the European Court of Human Rights to block his extradition — though supporters worry he could be put on a plane to the U.S. before that happens, because the British government has already signed an extradition order.

The 52-year-old Australian has been indicted on 17 charges of espionage and one charge of computer misuse over his website’s publication of a trove of classified U.S. documents almost 15 years ago. American prosecutors allege Assange encouraged and helped U.S. Army intelligence analyst Chelsea Manning steal diplomatic cables and military files that WikiLeaks published, putting lives at risk.

Lawyer Clair Dobbin, representing the U.S. government, said Wednesday that Assange damaged U.S. security and intelligence services and “created a grave and imminent risk” by releasing the hundreds of thousands of documents — risks that could harm and lead to the arbitrary detention of innocent people, many of whom lived in war zones or under repressive regimes.

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Dobbin added that in encouraging Manning and others to hack into government computers and steal from them, Assange was “going a very considerable way beyond” a journalist gathering information.

Assange was “not someone who has just set up an online box to which people can provide classified information,” she said. “The allegations are that he sought to encourage theft and hacking that would benefit WikiLeaks.”

Assange’s supporters maintain he is a secrecy-busting journalist who exposed U.S. military wrongdoing in Iraq and Afghanistan. They have long argued that the prosecution is politically motivated and he won’t get a fair trial in the U.S.

Assange’s lawyers argued on the first day of the hearing on Tuesday that American authorities are seeking to punish him for WikiLeaks’ “exposure of criminality on the part of the U.S. government on an unprecedented scale,” including torture and killings.

Lawyer Edward Fitzgerald said there is “a real risk he may suffer a flagrant denial of justice” if he is sent to the U.S.

Dobbin said the prosecution is based on law and evidence, and has remained consistent despite the changes of government in the U.S. during the legal battle.

She added that the First Amendment does not confer immunity on journalists who break the law. Media outlets that went through the process of redacting the documents before publishing them are not being prosecuted, she said.

Assange’s lawyers say he could face up to 175 years in prison if convicted, though American authorities have said the sentence is likely to be much shorter.

Assange was absent from court on both days because he is unwell, WikiLeaks said. Stella Assange, his wife, said he had wanted to attend, but was “not in good condition.”

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Assange’s family and supporters say his physical and mental health have suffered during more than a decade of legal battles, including seven years in self-exile in the Ecuadorian Embassy in London.

“Julian is a political prisoner and he has to be released,” said Stella Assange, who married the WikiLeaks founder in prison in 2022.

“They’re putting Julian into the hands of the country and of the people who plotted his assassination,” she added, referring to unproven claims by Assange’s lawyers that he was a target of a CIA plot to kidnap or kill him while he was in the Ecuadorian Embassy.

Supporters holding “Free Julian Assange” signs and chanting “there is only one decision — no extradition” protested outside the High Court building for a second day.

Assange’s legal troubles began in 2010, when he was arrested in London at the request of Sweden, which wanted to question him about allegations of rape and sexual assault made by two women. In 2012, Assange jumped bail and sought refuge inside the Ecuadorian Embassy.

The relationship between Assange and his hosts eventually soured, and he was evicted from the embassy in April 2019. British police immediately arrested and imprisoned him for breaching bail in 2012. Sweden dropped the sex crimes investigations in November 2019 because so much time had elapsed.

A U.K. district court judge rejected the U.S. extradition request in 2021 on the grounds that Assange was likely to kill himself if held under harsh U.S. prison conditions. Higher courts overturned that decision after getting assurances from the U.S. about his treatment. The British government signed an extradition order in June 2022.

Meanwhile, the Australian parliament last week called for Assange to be allowed to return to his homeland.

Andrew Wilkie, an Australian lawmaker who attended the hearing, said he hoped that sent a strong message to the U.K. and U.S. governments to end the legal fight. “This has gone on long enough,” he said.

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Associated Press video journalists Kwiyeon Ha and Jo Kearney contributed to this report.

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Biden to create cybersecurity standards for nation’s ports as concerns grow over vulnerabilities

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Biden to create cybersecurity standards for nation’s ports as concerns grow over vulnerabilities

WASHINGTON (AP) — President Joe Biden on Wednesday signed an executive order and created a federal rule aimed at better securing the nation’s ports from potential cyberattacks.

The administration is outlining a set of cybersecurity regulations that port operators must comply with across the country, not unlike standardized safety regulations that seek to prevent injury or damage to people and infrastructure.

“We want to ensure there are similar requirements for cyber, when a cyberattack can cause just as much if not more damage than a storm or another physical threat,” said Anne Neuberger, deputy national security adviser at the White House.

Nationwide, ports employ roughly 31 million people and contribute $5.4 trillion to the economy, and could be left vulnerable to a ransomware or other brand of cyberattack, Neuberger said. The standardized set of requirements is designed to help protect against that.

The new requirements are part of the federal government’s focus on modernizing how critical infrastructure like power grids, ports and pipelines are protected as they are increasingly managed and controlled online, often remotely. There is no set of nationwide standards that govern how operators should protect against potential attacks online.

The threat continues to grow. Hostile activity in cyberspace — from spying to the planting of malware to infect and disrupt a country’s infrastructure — has become a hallmark of modern geopolitical rivalry.

For example, in 2021, the operator of the nation’s largest fuel pipeline had to temporarily halt operations after it fell victim to a ransomware attack in which hackers hold a victim’s data or device hostage in exchange for money. The company, Colonial Pipeline, paid $4.4 million to a Russia-based hacker group, though Justice Department officials later recovered much of the money.

Ports, too, are vulnerable. In Australia last year, a cyber incident forced one of the country’s largest port operators to suspend operations for three days.

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In the U.S., roughly 80% of the giant cranes used to lift and haul cargo off ships onto U.S. docks come from China, and are controlled remotely, said Admiral John Vann, commander of the U.S. Coast Guard’s cyber command. That leaves them vulnerable to attack, he said.

Late last month, U.S. officials said they had disrupted a state-backed Chinese effort to plant malware that could be used to damage civilian infrastructure. Vann said this type of potential attack was a concern as officials pushed for new standards, but they are also worried about the possibility for criminal activity.

The new standards, which will be subject to a public comment period, will be required for any port operator and there will be enforcement actions for failing to comply with the standards, though the officials did not outline them. They require port operators to notify authorities when they have been victimized by a cyberattack. The actions also give the Coast Guard, which regulates the nation’s ports, the ability to respond to cyberattacks.

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Jill Biden is announcing $100 million in funding for research and development into women’s health

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Jill Biden is announcing $100 million in funding for research and development into women’s health

WASHINGTON (AP) — Jill Biden on Wednesday announced $100 million in federal funding for research and development into women’s health as part of a new White House initiative that she is heading up.

The money is the first major deliverable of the White House Initiative on Women’s Health Research, which was announced late last year. The money comes from the Advanced Research Projects Agency for Health, or ARPA-H, which is under the federal Department of Health and Human Services.

The first lady announced the ARPA-H Sprint for Women’s Health during an appearance in Cambridge, Massachusetts.

Biden has said women don’t know enough about their health because the research historically has been underfunded and lacking. The White House initiative aims to change the approach to and increase funding for women’s health research.

The $100 million will be used to invest early in “life-changing” work being done by women’s health researchers and startup companies that cannot get private support, Biden said.

“We will build a health care system that puts women and their lived experiences at its center,” she said. “Where no woman or girl has to hear that ‘it’s all in your head,’ or, ‘it’s just stress.’” Where women aren’t just an after-thought, but a first-thought. Where women don’t just survive with chronic conditions, but lead long and healthy lives.”

President Joe Biden created the Advanced Research Projects Agency for Health in 2022 to work on advancing solutions to health issues. The agency is part of what he called his “ unity agenda.”

In the coming weeks, the agency will solicit ideas for groundbreaking research and development to address women’s health, according to the White House.

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The first lady said last year when the White House initiative was announced in November that it grew out of meeting she had had with Maria Shriver, a women’s health advocate and former California first lady. Shriver, Biden said, spoke of the need for a public-private effort to close the gaps in women’s health research. Shriver also participated in Wednesday’s announcement in Massachusetts.

The White House Initiative on Women’s Health Research is led by Jill Biden and the White House Gender Policy Council.

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