Getting to the point of collecting a Social Security retirement check is very important for all United States citizens. This type of payment helps Americans in their golden years to have the best life possible. For that reason, knowing how to set up this check is the best thing to do.
Knowing the rules for getting the best possible check from Social Security will always make it easier for us to have a better break when we pass the age of 62. So check to make sure you are doing things right before you retire to correct them as soon as possible.
How to get the best Social Security check?
There are three elements that make up the entire retirement payment. Our check will be higher or lower depending on how those three elements are in our work history. Therefore, controlling them is key to having the best possible retirement.
Those three elements are the year of retirement, the years worked and the salary during those years. Maximizing these three elements is critical if we want to have a good payment every month when we apply for Social Security.
Here’s how to maximize each of these elements:
- Retirement age. The minimum age is 62, but that doesn’t mean it’s a good idea to apply for Social Security then. It’s best to wait until age 70. If we retire at 62, we will lose 30% of our retirement.
- Years worked. The calculation of our benefit is made through the 35 years worked with the highest salary. Any year not worked below this figure will cause the average to drop a lot, since it adds 0 dollars to the calculation.
- Salary as a worker. If we have a high salary, the benefit will always be higher. There is a limit, but the higher the salary, the more taxes we will pay. And, at the end of the day, Social Security depends on the taxes we have paid.
In short, if we take these three aspects into account, we will be able to get a good Social Security check that will help us live the best possible golden years. But we must watch out not to retire too early or too late. The limit is 70, but we can always apply for payment earlier if we have already earned a good amount.