Handfuls of retired receive a benefit per month from Social Security, while it is true, this money can serve as extra money for some, for other people it is essential to pay for essential expenses such as housing, transportation and food. Perhaps you are curious to know how your benefit per month of Social Security with that of retired average. And there is an answer, provided by the Social Security Administration (SSA).
In the month of July of this year, the worker retired average who was a beneficiary of Social Security It was $1,919.40. That equates to a little more than $23,000 annually in benefits. Fortunately, that benefit monthly average should present an increase in the year 2025, once the beneficiaries of the Social Security Get your annual cost of living adjustment (COLA). If it has not yet been retired and the benefit average $1,919.40 may not seem like much to you, there are steps you can take to get more money from Social Security. And if you are already retired and are required to receive a lower monthly benefit than Social Security, there are ways to make that income go even further.
How to Get a Higher Social Security Benefit
The monthly profit of the Social Security to which you are entitled during your retirement It’s going to depend on your salary, specifically, how much you earn over your 35 highest-paying years in the workforce. If you want to receive more money in your benefits of the Social Security during your retirement, do everything you can to increase your income, whether through a promotion or strategically changing jobs to earn a higher salary. Developing skills is a great way to prepare yourself to do both, as is making the most of the mentoring programs your employer offers.
It is also extremely important to ensure that you have worked a full 35 years so that you can receive a paycheck. Social Security, more generous every month. If you are nearing the end of your career and are a little short on money in that regard, consider delaying your retirement. You can also get a lot more money from Social Security If you wait to apply after the age of retirement complete, which is 67 years for anyone born in 1960 or later. For each year you postpone your application beyond that age, until age 70, your benefit per month It will have an increase of 8%.
Who receives the maximum Social Security benefits?
The benefits highest of Social Security for what They are generally awarded to people who have had the highest income throughout their working career, according to Paul Van de Water, a senior fellow at the Center on Budget and Policy Priorities. That group typically includes a “very small number of people,” he said. Since the benefits of retirement of the Social Security, they must consistently have salaries up to that threshold to obtain the maximum retirement benefit. “Very few people start at age 21 earning the highest level,” Van de Water said.
Workers pay payroll taxes to Social Security up to what is known as the taxable maximum. In 2024, a 6.2% tax on both workers and employers (or 12.4% for the self-employed) will apply on income up to $168,600. In 2025, that figure will increase to $176,100. It is important to highlight That the limit applies only to wages that are subject to federal payroll taxes. If a wealthy person has other sources of income, for example, investments that do not require payroll tax contributions, that will not affect the size of their benefits of the Social Security said Jim Blair, vice president of Premier Social Security Consulting and former administrator of the Social Security.