How to Protect Your Social Security Number From Theft

With the dramatic increase in identity theft, what can be done to protect your Social Security number (SSN) from these would-be thieves? Here are some ideas.
 
Do not carry your Social Security card with you. Your parents were encouraged to do this, but times have changed. You will need to provide it to a new employer, but that is about it.
 
Know who NEEDS your Social Security number. The list of people or organizations who need to have your number is limited. It includes:
 

• Your employer. To issue wages and pay your taxes.
• The IRS. To process your taxes.
• Your state's revenue department. To process your state taxes.
• The Social Security Administration. To record your work history and track future benefits.
• Your retirement account provider. To enable annual reporting to the IRS.
• Banks. To enable reporting to the IRS.
• A few others. Those who need to report your activity to the government (investment companies, for example).

 
Do not use any part of your Social Security number for passwords or account access. Many retirement plans use your Social Security number to enable you to access their online tool. When this happens, reset the login and password as soon as possible.
 
Do not put your Social Security number on any form. Unless a business has a legal need for your number, do not provide it. Common requestors of this number are insurance companies and health care providers. Simply write, “Not available due to theft risk” in the field that requests your number. If the supplier says they need it, ask them why.
 
Do not note your full Social Security number on any form. If you are required to give out your number, try marking out the first five numbers (i.e. xxx-xx-1234).
 
Do not put your Social Security number on your checks. If requested by the government to place your number on a check to apply a payment, simply put the last four digits on the check.
 
Never give your number out over the phone or in an e-mail.
Remember to periodically check your credit score with the major agencies to ensure your data has not been stolen. Once stolen, it is often difficult to get a new SSN issued.

"Tax Tips" are published to provide current tax information, tax-cutting suggestions, and tax reminders. If you would like more information on anything in "Tax Tips," or if you'd like to be on our mailing list to receive other tax information from time to time, please contact our office.
 
The tax information contained in this site is of a general nature and should not be acted upon in your specific situation without further details and/or professional assistance.
 
We are trusted CPA advisors servicing Burr Ridge, Hinsdale, Willowbrook, Darien, Naperville, and all Chicagoland area. 

Do you need assistance with your business and/or personal tax returns? Would you like to have a trusted source for your accounting, allowing you additional time to focus on increasing your business? Do you use QuickBooks, or plan to in the future, for your accounting? We include these in all our service packages, customized to fit your personal or business needs.   
 
We are currently accepting new clients. Your initial consultation is free, so you have nothing to lose and everything to gain. Our experienced staff is available to help you streamline your accounting, giving you more free time for yourself. Set up an appointment today by calling (630) 320-3720 or email us at info@monarchaccountinggroup.com. 
 
For more free resources, such as Tax Rates, Tax Organizers, and Record Retention Schedules, access our website www.monarchaccountinggroup.com.

Monarch Accounting Group, Inc
145 Tower Drive, Suite 4
Burr Ridge, IL 60527
Phone (630) 320-3720