Although you should not depend on Social Security benefits as your principal source of income in the United States, they might make up a considerable amount of your retirement income. As you can see, there is a substantial difference between getting $1,465 and $2,119.
In fact, the second payment is over $654 more than the first. When inflation and increasing costs force millions of seniors to run out of money, it is wise to examine this useful concept.
There are various techniques for increasing your Social Security income in retirement. However, there is one thing that most people can do: choose when to apply for retirement benefits. Waiting until you reach Full Retirement Age might improve your benefits by around 44%.
Should you apply for Social Security at 62 or full retirement age?
If you apply for Social Security at age 62, you will receive a 30% discount. That is a large sum of money, and few workers can afford it. While filing at 62 can have a negative impact on your money, filing at Full Retirement Age will provide you with all of your advantages.
As a result, there will be no reductions and no prizes. If your future retirement cheque will be around $1,465 at 62, filing at 67 will allow you to receive $2,119.
Keep in mind that if you filed for Social Security at the age of 70, you may receive a payment of $2,634. Of course, if you pay the correct taxes.
Other ways to boost your Social Security benefits without filing late
Filing beyond age 62 isn’t the only way to increase your future retirement benefits. For example, if you only work for 10 years, you may be eligible for Social Security, but you will get a relatively little benefit in most cases.
Also See: SSI: the Federal payout of $967 for seniors and those with disabilities if you are low on money.
However, if you have worked for at least 35 years, you will be ineligible for a pay cut. For example, if you work for 34 years, one year will count as $0 in earnings since the Social Security Administration uses 35-year computations.
Raising your salary is another great way to improve your retirement benefit payouts. To qualify for the maximum benefit payout of $5,108 in 2025, you must:
- file at 70
- work for 35 years
- earn the taxable maximum for 35 years
- have jobs covered by SSA
Also See: Don’t Miss Out Key Details on December extra SSI Payments
