As you approach retirement, you may be wondering how much income you can expect from Social Security. It’s a good question to ask even if you’re still decades away from retirement but are starting to develop a solid retirement plan. You may also be wondering what the average retiree is currently receiving.
For the most useful information, visit the Social Security Administration (SSA) website and set up a my Social Security account. Once you’ve done this, you can view an estimate of your future benefits at any time, based on your earnings history.
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Here’s a little context: The total average monthly retirement benefit for people of all ages was $1,922 in September. That’s about $23,000 a year – for this year. The benefits increase over time thanks to cost-of-living adjustments (COLAs) that occur almost every year.
If you think you’ll retire in your mid-60s and are wondering what Social Security benefits might look like, at the end of 2023 the average benefit for a 65-year-old was $1,563, or about $18,750 for the year.
At this point you may be a little depressed and wondering if you should ever retire. Take a deep breath and consider these points:
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You can take certain actions to increase your future Social Security benefits. For example, you can work on increasing your income. It is also possible that you delay claiming your benefits, because the longer you wait, the larger the benefit becomes (until you are 70). For most people, the best strategy is to wait until age 70.
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Another powerful move is delaying your retirement by a few years. Doing this will help you save and invest more, and it means your savings will have to support you for fewer years.
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It is smart to set up multiple income streams for your pension. These can include income from dividend-paying stocks, rent checks from properties you own and rent, interest from bonds, income from one or more annuities, and many other possibilities.
If you’re like most Americans, you’re a few years (or more) behind on your retirement savings. But a handful of little-known “Social Security secrets” could give your retirement income a boost. For example, one simple trick can earn you as much as $022,924 more… every year! Once you learn how to maximize your Social Security benefits, we think you can retire confidently, with the peace of mind we’re all looking for. Click here to find out how you can learn more about these strategies.
