Social Security & You: Earnings after retirement may or may not increase your Social Security check

Australia News News

Social Security & You: Earnings after retirement may or may not increase your Social Security check
Australia Latest News,Australia Headlines
  • 📰 TucsonStar
  • ⏱ Reading Time:
  • 62 sec. here
  • 3 min. at publisher
  • 📊 Quality Score:
  • News: 28%
  • Publisher: 59%

Q: I am 73 and still working part time. I took my Social Security at age 66. I have never seen an increase in my Social Security check, even though I am still paying into the system. What’s up?

A: To understand whether the earnings you have, and the taxes you pay, after you start getting Social Security will increase your benefits, you have to understand how Social Security retirement benefits are figured in the first place.

People are also reading… After the SSA indexes each year of earnings for inflation, they pull out your highest 35 years and add them up. Then they divide the total by 420 — that’s the number of months in 35 years — to get your average monthly inflation-adjusted income. Your Social Security benefit is a percentage of that amount. The percentage used depends on a variety of factors too complex to explain here. But for the purposes of this column, we don’t need to know the precise percentage.

On the other hand, had your current earnings been $70,000, for example, that would increase your benefit. The SSA would replace this low year of $46,060 with the new higher year of $70,000, recompute your average monthly wage and refigure your benefit. In other words, if you are getting Social Security benefits, and if you are working, and if your latest earnings increase your average monthly wage and thus your Social Security benefit, you generally will see that increase by October of the following year. For example, you would get an increase for your 2021 earnings by October 2022. The SSA sends you a notice indicating the increase in your monthly benefit, which is retroactive to January of the year you get the notice.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

TucsonStar /  🏆 339. in US

Australia Latest News, Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Go-broke dates pushed back for Social Security, MedicareGo-broke dates pushed back for Social Security, MedicareThe time frame for Social Security and Medicare to go-broke has been pushed back, helped by a stronger-than-expected economic recovery from the coronavirus pandemic.
Read more »

Lebanese security chief fears political paralysis, social collapseLebanese security chief fears political paralysis, social collapseA senior Lebanese security official has said the risk of political paralysis has increased since an election produced a fractured parliament last month, warning of a possible 'disaster' because there is no majority to legislate.
Read more »

Social Security Fund Will Be Able to Pay Benefits One Year Longer Than Expected, Treasury SaysSocial Security Fund Will Be Able to Pay Benefits One Year Longer Than Expected, Treasury SaysThe Social Security trust fund will be able to pay out benefits for a year longer than prior estimates, the Treasury Department said, the first time officials have issued such a rosy outlook since their 1983 report
Read more »

What happens to Social Security if I marry my same-sex partner?What happens to Social Security if I marry my same-sex partner?Marrying your partner will give you several rights, including financial ones.
Read more »

'Social Security Not Going Broke': Sanders Says Program Can and Should Be Expanded'Social Security Not Going Broke': Sanders Says Program Can and Should Be Expanded'We don't have a Social Security crisis, but we do have a retirement income crisis... The solution is to expand Social Security.' SSWorks
Read more »

Sanders Calls for Expanding Social Security Benefits by Taxing the RichSanders Calls for Expanding Social Security Benefits by Taxing the RichThe popular program isn't broke and can be expanded by making the rich 'pay their fair share,' Sen. Bernie Sanders said.
Read more »



Render Time: 2025-02-26 01:47:32