What determines how much you receive each month

Your Social Security payment is built on three things: how much you earned over your working years, how many years you worked, and the age when you start taking benefits. The Social Security Administration calculates your Primary Insurance Amount (PIA) by looking at your 35 highest-earning years. If you worked fewer than 35 years, they count zeros for the missing years, which lowers your payment. The longer you wait to start benefits after age 62, the larger your monthly check becomes — this is called delayed retirement credits.

Your earnings record is the foundation of everything. If you earned less in some years or took time out of the workforce, those years still count toward your total, and lower years pull down your average. The Social Security Administration does not automatically fix errors on your record — you have to catch and report them yourself.

Key Takeaways

  • Waiting to claim benefits between age 62 and 70 increases your monthly payment by roughly 8 percent per year you delay.
  • Your earnings record must cover at least 10 years of work to receive any benefit, and your payment is based on your 35 highest-earning years.
  • You can view your complete earnings history and estimated benefits on your personal Social Security account at ssa.gov.
  • Correcting errors on your earnings record — missing years, wrong amounts, or name changes — can raise your benefit by hundreds of dollars per month.
  • If you continue working after you start benefits before your full retirement age, your payment is reduced by $1 for every $2 you earn above an annual limit.

Review your earnings record for mistakes

The Social Security Administration relies on employers to report your wages each year. Mistakes happen: a year might be missing entirely, an amount might be recorded wrong, or your name might not match what's on file. These errors directly reduce your benefit because Social Security uses your reported earnings to calculate your payment.

Create a personal account at ssa.gov and read your earnings record. Look at each year and compare it to your own tax records or pay stubs. If you spot a discrepancy, contact Social Security with proof — a W-2, tax return, or pay stub showing the correct amount. Social Security has a important date to correct errors (generally three years, three months, and 15 days after the year in question), so report problems as soon as you find them.

If you changed your name due to marriage or other reasons, make sure your current name matches what Social Security has on file. A name mismatch can cause years of earnings to be credited to the wrong account or not credited at all.

Understand how waiting affects your payment

You can start Social Security as early as age 62, but your payment will be permanently reduced. If you wait until your full retirement age (which ranges from 66 to 67 depending on your birth year), you receive your full benefit. If you wait beyond full retirement age until age 70, your payment increases by roughly 8 percent per year.

The difference is substantial over a lifetime. Someone born in 1960 with a full retirement age of 67 who claims at 62 receives about 70 percent of their full benefit. That same person waiting until 70 receives about 124 percent of their full benefit. The monthly payment at 70 is significantly higher, but you receive fewer total payments because you started later. The break-even point — where total lifetime benefits are equal — typically occurs in the early 80s, though this varies based on individual circumstances.

Waiting is most valuable if you expect to live into your mid-80s or beyond, have other income to live on in your 60s, or want to leave a larger survivor benefit to your spouse or children. Claiming early makes sense if you need the money now, have health reasons to expect a shorter lifespan, or have already reached an age where waiting would not significantly increase your total lifetime benefit.

Know the earnings limit if you work while receiving benefits

If you claim Social Security before your full retirement age and continue working, your benefit is reduced. Social Security subtracts $1 from your benefit for every $2 you earn above an annual limit. The limit changes each year — it was $22,320 in 2023, but you should check the current year's limit on ssa.gov because it increases with wage growth.

This reduction only applies to earnings before you reach full retirement age. Once you hit full retirement age, you can earn any amount without losing benefits. The reduction is also temporary: when you reach full retirement age, Social Security recalculates your benefit to account for the months you did not receive a payment, which increases your monthly amount going forward.

Self-employment income counts toward this limit, as do wages from a job. Retirement account withdrawals, investment income, and pensions do not count. If you are close to the earnings limit, you might consider reducing your work hours or timing your income strategically to stay under the threshold.

Maximize benefits as a spouse or survivor

If you were married for at least 10 years, you may be may have access to to a benefit based on your ex-spouse's earnings record, even if you never remarried. This benefit can be up to 50 percent of what your ex-spouse receives at their full retirement age. You must be at least 62 years old to claim it, and your ex-spouse must be at least 62 (or you must have been divorced for at least two years).

Spouses and ex-spouses can also receive survivor benefits if the worker passes away. A surviving spouse at full retirement age receives up to 100 percent of what the worker was receiving. Surviving spouses under full retirement age receive a reduced amount. Children under 19 (or 19 if still in high school) and disabled adult children can also receive survivor benefits based on a worker's record.

If you are may be able to access for both your own benefit and a spousal or survivor benefit, Social Security will pay your own benefit first, then add the spousal amount if it is higher. The rules around spousal benefits changed in 2015, so if you were born after January 2, 1954, your options are more limited than they were for earlier generations.

Plan your claiming strategy with your household

If you are married, you and your spouse should coordinate your claiming decisions. One strategy is for the higher earner to delay until 70 while the lower earner claims at 62 or full retirement age. This maximizes the household's total benefit and ensures a larger survivor benefit if the higher earner passes away first.

Another consideration is your health and family history. If you have a condition that may shorten your lifespan, claiming earlier may make sense. If you are in good health and your family members lived into their 80s or 90s, waiting longer typically results in a larger total benefit over your lifetime.

You can also change your mind within limits. If you claim before full retirement age and then change your mind within 12 months, you can withdraw your process and reapply later at a higher benefit. After 12 months, you cannot withdraw, but you can suspend your benefits at full retirement age and let them grow until 70 — though this option is also limited depending on your birth year.

Request a detailed benefit estimate

Your personal Social Security account shows an estimate of your benefits at different ages, but this estimate is based on the assumption that your earnings remain constant. For a more detailed picture, you can request a detailed benefit statement from Social Security that shows your complete earnings history and projected benefits under different scenarios.

You can also contact your local Social Security office or call 1-800-772-1213 to speak with a representative who can walk through your specific situation. Bring your Social Security card, proof of citizenship or legal residency, and your birth certificate. A representative can explain how your earnings record affects your benefit and answer questions about spousal or survivor benefits.

Frequently Asked Questions

Can I increase my Social Security benefit after I start receiving it?

Your benefit amount is locked in when you start claiming, but it increases automatically each year with cost-of-living adjustments. If you suspended your benefits at full retirement age, they continue to grow until age 70. If you claimed early and want a higher benefit, you would need to repay all benefits received and reapply, which is rarely worth the cost.

What if I worked in multiple countries?

Social Security has agreements with several countries that allow work credits earned abroad to count toward your benefit. The rules vary by country. Contact Social Security to learn whether your work in another country can be credited toward your U.S. benefit.

How do I know if my earnings record is complete?

Log into your Social Security account and review your earnings history year by year. Compare it to your tax returns or W-2s. If you see a year with zero earnings that should have income, or an amount that does not match your records, report it to Social Security with documentation as soon as possible.

Does my benefit change if I move to another country?

You can receive Social Security benefits while living abroad in most countries. Some countries have restrictions, so check with Social Security before you move. Your benefit amount does not change based on where you live, but you may need to report your income or complete additional paperwork depending on the country.

What happens to my benefits if I pass away?

Your family members — spouse, ex-spouse, children, and parents depending on age and relationship — may be may have access to to survivor benefits based on your earnings record. The total amount paid to all family members is limited to roughly 150 to 180 percent of what you were receiving, so benefits are divided among may be able to access survivors.