By the time you start looking to the Social Security system for income, the system may function differently than it does today. It may require you to change your thinking about sources of retirement income. Also, reduced benefits and increased costs are likely.

News reports about Social Security funding. Reported shortfalls have eroded public confidence that Social Security benefits will be available to retirees in the years ahead. And while there was consensus among these experts that Social Security would survive, how much it will contribute to retirement income ultimately depends upon what Congress does to reform the system. Most of the reforms proposed by members of the Social Security advisory council — such as moving back the retirement age, raising taxes, "privatizing" Social Security assets, reducing benefits, expanding means testing — would significantly alter the way this venerable institution provides benefits.

How much you can expect from Social Security. Since people are not saving enough, many rely on Social Security as the primary source of retirement income, even though it was never intended for that purpose, according to surveys conducted by the Employee Benefit Research Institute. The Social Security Administration will provide you with a free estimate of your benefits under current law. You will receive: an explanation of how Social Security works; a year-by-year record of earnings, which you should check for accuracy; an estimate of what you will receive if you become disabled; an estimate of what your family will receive when you die; and an estimate of monthly retirement benefits.

How to obtain Social Security information. To get your free estimate of benefits, call 1-800-772-1213 and ask for a Personal Earnings and Benefit Estimate Statement (PEBES). You can also request your PEBES online at www.ssa.gov. After receiving your online request, the Social Security Administration will prepare a PEBES and mail it to you in about three to four weeks.