With the increase in COLA (cost-of-living adjustment), United States citizens are seeing an increase in the difficulty of living every month. Sometimes, the Social Security retirement benefit is not enough. That’s why it’s good to know some tips on how to increase those benefits a bit and get more money on a monthly basis. Not everyone has access to this increase, but it is really helpful to know these ways to increase your Social Security.
In the month of April, inflation rose 8.3%. This means that inflation in the United States is very close to the highest inflation in the last 40 years in the country of America. These data are for April, of course. During the next few days the US Department of Labor will publish the inflation for May, so we will know for sure what the exact amount is, although everything seems to indicate that it will also go up. Unfortunately, Social Security benefits are not increasing as much.
In order to cope with this inflation, our Social Security retirement benefit needs to increase. It is true that there are increases that will be incorporated gradually and automatically, but it may not be enough. If you are already retired or will be retiring soon, learn ways to get the most out of your Social Security benefit.
Ways to maximize your Social Security benefit
First of all, ask about SSI. This Supplemental Security Income has special requirements and can increase your Social Security benefit by up to $841 a month. Because of the COLA, Social Security SSI has increased monthly payments by an average of $34. If you qualify, you can apply for SSI. Remember, you can apply for both the retirement benefit and SSI to combine the two payments.
Delaying retirement is another way to increase your monthly Social Security payment. By waiting until age 70 to retire, your benefit will increase based on how much you earned while you were working. You will receive this increase for the rest of your life. If you prefer to ask for retirement earlier, it is certain that you will receive less money every month.
Do not ask for retirement too early
Asking for retirement too early is a mistake some people make. Social Security allows you to apply for retirement as early as age 62. That means you will not receive the full amount. The reduction can be as much as 30%, which means a large amount of money on an annual basis.
The ideal age to apply for retirement is 70, as previously mentioned, but applying for the Social Security retirement benefit at age 67 ensures that you will receive it in full. When to apply for retirement will depend on what you prefer and what your lifestyle is. These tips could help you increase your retirement benefit by $100 a month.