Each year, the Social Security Administration grants millions of United States residents a new retirement check. This new check does not have a random number, but is based on the citizen’s history during his or her years as a worker. Admittedly, this can change a bit when it comes to disability cases.
In general, monthly Social Security retirement payments depend on three factors. These factors are retirement age, salary as a worker and years worked. These three factors must be watched out for as much as possible if we want to have a good retirement. And not only is it enough to get the maximum possible salary, but you also have to watch out that everything is well documented.
You have to watch out for working a minimum of 35 years, of course. After all, the Social Security Administration takes into account the 35 years of highest salary to average our benefit. But we must also take into account the salary as such and its recording, as we may be in for a nasty surprise if we don’t check the details.
How can I avoid a lower Social Security check?
As we have already mentioned, the salary record is fundamental for the Social Security check to be higher or lower. But it’s not enough to earn a big paycheck, you also need to make sure that money is recorded.
Every year, the Social Security Administration shows U.S. citizens the record of their monthly wages. At that time, we must check that the record is accurate. If not, we must correct it to avoid problems.
It may seem unimportant, but it is quite the opposite. If we do not have absolute control of the record that Social Security has of our salary, we can get a lower payment in retirement. So don’t forget to check the record every year and correct it if it is wrong.
What is the maximum retirement benefit?
If we apply for retirement at age 70, the maximum Social Security retirement is $4,555 per month. This figure is not easy to achieve, but it is not impossible either. The key is to maximize as much as we can of the three elements that make up the monthly retirement check.
In order to reach that amount, it is mandatory to work a minimum of 35 years. In addition to that, we must also have a good salary during all those years worked. Remember to check your annual history so as not to mess up this step.
If we apply for Social Security at age 62 we will lose 30% of the money contributed. Likewise, waiting until age 67 gives us 100% of the money, but we cannot reach the maximum amount at that age. It is mandatory to wait until 70 to get it.