The closer people get to retirement, the more they start to pay attention to things like social security and how big their benefits can be.
What you see for benefit payments will be individual to you and the many factors that come into play.
These people made at least the social security tax pay cap every year for 35 years and waited until they were 70 years old to collect.
How do you get the maximum social security payment?
As previously mentioned, you have to make 6 figures every year for 35 years.
The salary cap in 2022 is $ 147,000.
This means that you pay tax on social security until that time, but once you have passed it, you no longer pay for it.
The average is taken from your 35 highest earning years to determine your monthly benefit.
Next, retire as a 70-year-old.
There are three main ages for retirement: 62, 67 and 70.
Retiring as a 62-year-old will cause you to lose up to 30% of your monthly benefit.
Age 67 will give you 100% of your benefit.
Waiting until the age of 70 will give you additional benefits, which end up being about 8% more per year from 67 to 70.