Last September 2023, the Social Security paychecks increased, directly influenced by the 2024 cost of living adjustment (COLA). This adjustment is designed to ensure that the monthly benefits for seniors reflect the increase in the cost of living. By 2024, an increase of 3.2 percent in these monthly benefits was applied over these payments.
As for the specific amounts, the maximum retirement payment that people with higher incomes who retire at the age of 70 can receive is $4,873, and this figure will be applied from next May 10. The exact date when beneficiaries will receive these payments will depend on their date of birth.
Social Security, SSI Payment Dates in May 2024
People who are beneficiaries of the Supplemental Security Income (SSI), will be the first to see their payments reflected in the bank accounts (or by paper check, depending on the method chosen), on May 1, 2024. It’s the same pay date for those receiving Social Security before May 1997, or receiving both Social Security and SSI.
For those who were born between the 1st and the 10th of any month, they will receive their payments on May 10th. On the other hand, those who were born after that date will see their checks arrive in the coming weeks, depending on their specific date of birth.
The payment schedule continues as follows: people born between the 11th and the 20th of any month will receive the new payments on the third Wednesday, which in this case would be May 17th. Finally, Americans born between the 21st and the 31st of their birthday month will see the COLA increase reflected in their payments on Friday, May 24th.
Is There Enough Money in the SSA to Pay Social Security Benefits?
The SSA has repeatedly denied rumors that the funds are depleted, and has assured that the money for the benefit payments are secured, at least for now. However, it is expected that by 2024, as more Americans retire and fewer work and contribute to the program, there will be serious funding problems.
Every year, over $1.4 billion are sent to beneficiaries, to around 70 million people, while more than 8 million individuals started claiming their well-deserved benefits in the last decade, according to the SSA.
For those looking forward to claiming the maximum Social Security benefit of $4,873 when retiring, there are three requirements to be fulfilled:
It is not strictly necessary to work for exactly 35 years to qualify for Social Security, but it is required if you are looking to apply for the maximum monthly benefit. The amount you will receive each month during your retirement depends on your income during the 35 years in which you have earned the most money in your working life. If you do not have 35 years of recorded income, it will be considered $0 for each year that is missing from your record, which lowers the annual average and can completely eliminate the monthly maximum benefit.
Now, during those 35 years, it is necessary to have 35 years of income in which your salary reaches the salary limit or more. This limit varies every year and is currently $168,600. If you have a 40-year career with an average annual salary of $80,000, it is unlikely that you will get the maximum monthly benefit.
Finally, to claim the $4,873 a month, you have to wait until age 70 to be able to receive that amount. The full retirement age (FRA) can be at 66, 67 or another age depending on your year of birth, but delaying applying until age 70 will significantly increase your monthly payments.
Most people don’t earn as much as the maximum Social Security benefit. However, there are ways to increase your personal monthly benefit. For example, extending your career to wait until age 70 to claim Social Security or increasing your wages during your working life to get a higher monthly benefit and greater financial flexibility in the short term.
