The Social Security Administration, or SSA, is responsible for retirement benefits in the United States. Because you work in jobs covered by the SSA, you pay taxes to the administration.
These taxes fund today retirement benefits. When you retire, other workers will pay taxes for SSA-covered jobs, and you'll enjoy your monthly payment in United States. The amount of your future retirement benefits will depend on three things.
First, the number of years you have worked. If you haven't worked for ten years and earned 40 work credits, you can't file for Social Security at age 62. Second, the age you file can reduce or increase your benefit amount. Third, the earnings you receive as a worker are also key.
HOW MUCH IS PENSION BENEFIT IN THE US?
The average the retirement benefit for workers in the United States is $1,907. However, some retirees may receive much more, while others may qualify for much less. See below for maximum amounts.
retirement the benefits can be up to 3822 dollars if you file at full retirement age. However, you will have to work for 35 years and earn the taxable maximum throughout that time.
The filing at Full retirement age gives you 100% of your payment amount. However, you could get much more if you filed at age 70. Social Security offers a reward for those who choose to file late.
Even if you think retirement at 70 is too late, some seniors prefer to continue working until that age. This way they can get 24% extra. So your check can be up to 4,873 dollars. Getting more money is possible if you delay the submission.
WHAT HAPPENS IF I FILE AT 62 IN THE UNITED STATES?
Filing early can reduce the amount of your retirement benefits by 30%. So if you file at 62, you'll get a much smaller check than if you file for Social Security at 67 or 70.
It is true that money is not everything. Sometimes your health is bad and you need to take care of yourself. In other cases, your work is too hard and you cannot continue doing it.
Let's compare the amounts at full retirement age, at 62 and at 70. The smallest check is for those filing at age 62. It could go as high as $2,710. If you file with the FRA, this can go up to $3,822.
Submitting 70 can get you up to $4,873. In truth, there is a difference of $2,163 between the maximum amount at 62 and the maximum amount at 70. Even if you get an average payment, you can lose a lot of money by filing early. It is true that you will receive more checks.