Three Common Ways Your Social Security Payment Can Grow After Retirement
Reading Time: 2 MinutesLast Updated: June 21, 2018
You made the choice and now you are happily retired. You filed online for your Social Security benefits. They arrive each month in the correct amount exactly as expected. But, did you ever wonder if your Social Security check could increase?
Once you begin receiving benefits, there are three common ways benefit checks can increase: a cost of living adjustment (COLA); additional work; or an adjustment at full retirement age if you received reduced benefits and exceeded the earnings limit.
The COLA is the most commonly known increase for Social Security payments. We annually announce a COLA, and there’s usually an increase in the Social Security and Supplemental Security Income (SSI) benefit amount people receive each month. By law, federal benefit rates increase when the cost of living rises, as measured by the Department of Labor’s Consumer Price Index (CPI-W). More than 66 million Americans saw a 2.0 percent increase in their Social Security and SSI benefits in 2018. For more information on the 2018 COLA, visit our website.
Social Security uses your highest thirty-five years of earnings to figure your benefit amount when you sign up for benefits. If you work after you begin receiving benefits, your additional earnings may increase your payment. If you had fewer than 35 years of earnings when we figured your benefit, you will replace a zero earnings year with new earnings. If you had 35 years or more, we will check to see if your new year of earnings is higher than the lowest of the 35 years (after considering indexing). We check additional earnings each year you work while receiving Social Security. If an increase is due, we send a notice and pay a one-time check for the increase and your continuing payment will be higher.
Maybe you chose to receive reduced Social Security retirement benefits while continuing to work. You made the choice to take benefits early, but at a reduced rate. If you exceeded the allowable earnings limit and had some of your benefits withheld, we will adjust your benefit once you reach full retirement age. We will refigure your payment to credit you for any months you did not receive payments. Your monthly benefit will increase based on the crediting months you receive. You can find additional information about working and your benefit by reading What You Need to Know When You Get Retirement or Survivors Benefits.
Retirement just got more interesting since you learned about potential increases to monthly payments. Social Security has been securing your today and tomorrow for more than 80 years with information and tools to help you achieve a successful retirement.
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Tags: retirement, retirement benefits
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Jim Borland, Acting Deputy Commissioner for Communications
Jim Borland, Acting Deputy Commissioner for Communications
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James H.
Will SSA send out letters explaining how these 3 ways one’s benefits may increase and the time frames that the increases will fall in?
David W.
Thanks
Toni F.
I was actually disabled when I took early retirement. Unfortunately, I was disabled for a while before I tried to get disability, so I did not have much income and my husband was still working. Consequently, I did not qualify. We ended up filing for bankruptcy due to it. I worked from the time I was 16 years old.
OSCAR S.
OPICHARDOR1006@aol.com
NIKHILANANDA
ALOHA: I started receiving SS benefits a few years ago. I started to work as a substitute teacher in December 2017. I have been working continually since then. Is there something I need to do to obtain a higher monthly stipend? Will SSA automatically readjust me monthly benefits? I had previously not worked 35 years. Please let me know as soon as you can. MAHALO
V.V.
Hi there, thank you for your question. Generally, if you continue to work while receiving retirement benefits, your monthly benefit amount may increase. As long as you continue to work and receive benefits, we will automatically check your record every year to see whether the additional earnings will increase your monthly benefit. If there is an increase, we will send you a letter telling you of your new benefit amount. You can call our toll free number at 1-800-772-1213 for further assistance. Representatives are available Monday through Friday, between 7 a.m. and 7 p.m. Thanks!
jack b.
I do not know much about computer’s when l ck. my
E mail I have to have to call for help.
Len
I work part time occasionally. I receive monthly ssi and my employer takes out social security tax. Will this increase my social security benefit?
Rosa R.
I would like to have some information on where to get a part time job, I’m 71 years old and retired but can’t make ends meet. I live in Kendall, in the Hammocks area.
Thank you
Jodene C.
Do I need to let SS know I’m planning on working a little since my benefits started? Plus I’ll be working in a different state than where my regular home address is ?
V.V.
Hi Jodene, thank you for your question. It depends on the type of Social Security benefit that you’re receiving.
If you’re receiving retirement, spouses or survivor benefits, check out our Retirement Planner: Getting Benefits While Working web page.
If you’re receiving disability benefits, check out our Disability Planner: If You Go Back To Work web page.
Kevin F.
Very interested in knowing what part of my benefits my wife will receive when I pass away.
V.V.
Hi Kevin, thank you for your question. Your wife’s survivor amount is based on your earnings. The more you paid into Social Security, the higher her benefit will be. If you are already receiving reduced benefits when you die, survivors benefits are based on that amount.
Widows benefit are payable as early as age 60 (for a reduced benefit) or a full widows benefit at full retirement age or older.
Use our Survivors Planner to look at how your family members are protected if you die.