At age 67, our 22-year-old retires and, according to Social Security, the 22-year-old can expect to get $80,000 a year in Social Security benefits. Now, keep in mind, that number is not adjusted for inflation, so thatâs about approximately the same as $25,000 a year today.
Even later in life, they may have to fall back on their parents. Usually when a parent provides most of a child's support, even if the child works, the parent can claim the child as a dependent, regardless of the child's age. When the child files his income tax return, he will not be able to claim his own exemption and may have a reduced standard deduction. But he can still claim many other deductions.
The parent who claims the exemption for the child is the only parent who can claim the child tax credit. If you are the custodial parent, you can claim the dependent care credit for the child even if you canât claim the childâs exemption.If you are the non-custodial parent, you canât claim the dependent care credit even if you can claim the childâs exemption.f you are the non-custodial parent and are given the right to claim the child as a dependent you must also fill out a form 8332 from the IRS.