In ten days, the first round of August Social Security payments will begin, which can reach up to $4,873 for higher-earning retirees who have chosen to retire at age 70.
Remember that the Social Security Administration (SSA) establishes a calendar of payment dates every two years, and we are now using the benefit calendar that has been previously established for 2024 and 2025.
What is Social Security?
Social Security, one of the most respected federal programs from all times, was created in 1935 when President Franklin D. Roosevelt signed the Social Security Act. This law established the Social Security Administration (SSA), an agency charged with administering the program.
The mission of the SSA is to hand out monthly paychecks to retirees with the goal of replacing or supplementing income lost when they stop being salaried employment.
When Am I Eligible?
Eligibility to receive Social Security benefits begins at age 62. At this age, citizens can begin receiving payments, although the amount may vary depending on the age at which they decide to retire.
Social Security payments are usually made on the second Wednesday of each month, with additional payments spread over subsequent weeks.
The date of receipt of payment depends on the day the retiree was born, as explained next:
- August 14: Retirees born between the first and the tenth day of the month will receive their payments.
- August 21: Beneficiaries born between August 11 and 20 will receive their checks.
- August 28: Retirees born on or after August 21 will receive their payments.
How Can I Maximize My Check?
The amount of the Social Security payment depends on several factors, including retirement age, the total amount contributed to Social Security during your working life, and the number of years worked and contributions. According to the SSA, the maximum amount that can be received varies significantly with retirement age:
- At age 62, beneficiaries can receive up to $2,710 per month.
- Delaying retirement until age 70 can increase the monthly amount up to $4,873.
To get a personalized estimate of the monthly amount you could receive, beneficiaries can use the SSA calculator available on its official website.
Social Security Financing
Social Security is funded through a payroll tax that is paid by both employers and employees. However, there is growing concern about the sustainability of the program.
Analysts predict that without Congressional intervention, the SSA could face difficulty in continuing to pay the full amount of benefits starting in 2034. This is due to the increase in the number of retirees and the reduction in workers contributing to the system.
Wednesday August 2024 Beneficiaries
By August 2024, Social Security payments will be distributed according to the schedule mentioned above. Specifically:
- August 14: Beneficiaries born between the 1st and 10th of each month.
- August 21: Beneficiaries born between the 11th and 20th of each month.
- August 28: Beneficiaries born on or after the 21st of each month.