How are Social Security Benefits Calculated?

Most retirees will rely on Social Security to make up a significant portion of their income in retirement, but knowing what your benefits will be isn’t always something people have a good handle on. Today we’re going to break down how your earnings history, adjusted for inflation, determines your benefit.

From understanding the primary insurance amount (PIA) to the significance of your highest 35 years of earnings, this episode is packed with valuable insights for anyone nearing retirement. Understanding how Social Security works will help you maximize your benefits and plan effectively for retirement.

This episode is a replay from a couple of years ago but it’s a conversation that’s worth revisiting because Social Security continues to be a common topic of discussion with people we meet.

 

Here’s some of what we discuss in this episode:

What goes into the calculation?

How inflation is factored in and accounted for in the future.

Why it’s important to track your benefits online.

The role Social Security plays in income planning.

 

Get in touch with Chessman Wealth: https://www.chessmanwealth.com/ 

The opinions voiced in The Money Knight podcast with Wade Chessman of Chessman Wealth Strategies are for general information only and are not intended to provide specific advice or recommendations for any individual. Past performance is no guarantee of future results. All indices are unmanaged and may not be invested into directly. Investing involves risk, including possible loss of principal. No strategy assures success or protects against loss. To determine what may be appropriate for you, consult with your attorney, accountant, financial or tax advisor prior to investing.

Investment advisory services offered through CWM, LLC, an Investment Advisor. Carson Partners, a division of CWM, LLC, is a nationwide partnership of advisors.