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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bob
your explanation is not accurate. there is another way your benefits can increase – if you work after your retirement age, the computer system calculates your benefit twice year – in Oct and in March to see if you are receiving the correct amount. Then is you have a mismatch between your current benefit and what your income says you are entitled to – you will get an increase. Funny you could not explain this above……..
joe
I thought that as a retired postal employee with 40 quarters there was to be an increase in social security of 100.00 a month . Which I do not see on the new benefit amount for the year 2020. Have things change ?
A.C.
Hi, Joe. For your security, we do not have access to private information in this venue. We ask that members in our Blog community work with our offices with specific questions. You can call us at 1-800-772-1213, Monday through Friday, between 7:00 a.m. and 7:00 p.m., for assistance. Generally, you will have a shorter wait if you call later in the day. You can also contact your local Social Security office. We hope this helps.
Jeanne D.
I have been collecting Social Security since I was 65. I am 79 and have been working all these years. They take Social Security out of my check every wououeek. Do they owe me as from age 65 to 79 I have never received added social security during these 14 years. Only receive more social security on coast of living expense which is not much. Should I be reimbursed for a certain amount that they have been taking out of my check for the last 14 years and my social security has never increased.
L.A.
Hi Jeanne. Thank you for your question. Every year, we recalculate the benefits for those beneficiaries who have earnings (salaries) posted for the previous year. This happens in August of every year. If the recalculation shows that the beneficiary is due a higher benefit amount because of the earnings posted, we send a notice to the beneficiary letting her or him know about the change. If, however, the recalculation does not show that a higher benefit amount is due (normally, because the earnings amount is low), we do not send a notice to the beneficiary. If you have any further questions, please contact us at 1-800-772-1213 (TTY 1-800-325-0778), Monday through Friday, between 7:00 a.m. and 7:00 p.m. Generally, you’ll have a shorter wait time if you call later in the week. We hope this helps.
Mohammed G.
Thank you for your information and I hope you will help me sr and give me more information about my SSN information
CHRIS R.
IF I’AM ON S.S.I.DISABILITY AND I HAVE TO SIGN UP FOR MY EARLY RETIREMENT .WILL I STILL GET S.S.I. WITH MY EARLY RETIREMENT ?”
L.A.
Hi Chris. For your security, we do not have access to your personal information in this forum. For specific questions about your account, please call our toll free number, 1-800-772-1213 (TTY 1-800-325-0778), from Monday through Friday, between 7:00 a.m. and 7:00 p.m. You may also contact your local Social Security office. We hope this helps.
R. A.
Q. how long does it to take SSA to issue & direct-deposit a retroactive retirement check to the recipient?
L.A.
Hi. For your security, we do not have access to your personal information in this forum. For specific questions about your account, please call our toll free number, 1-800-772-1213 (TTY 1-800-325-0778), from Monday through Friday, between 7:00 a.m. and 7:00 p.m. You may also contact your local Social Security office. We hope this helps.
extremetube
“Lots of people file for Social Security without fully understanding the consequences,” he explains. “For example, many people choose to claim Social Security before full retirement age, but later wish they had not done so.”
Kumar
I started receiving my ss at 62, due to loiw premium, I started working , now I am 74 years old, still want to work, as my ss check is only $560 , after deducting my medicare part b. I am working as a class b commercial bus driver, and that is the only work I can do now. due to a pain in my right leg, I can not drive any more. Can I claim for any ssi , or other help?
L.A.
Hi Kumar. You may be eligible to receive social services from the state in which you live. These services include free meals, housekeeping help, transportation, or help with other problems. To get information about services in your area, and find out if your brother qualifies, you will need to contact your state or local social services or welfare office. You should also contact your local Medicare SHIP (State Health Insurance Program Coordinator) to discuss your health insurance options. We hope this helps.
john L.
No one at SOCIAL SECURITY CAN ANSWER MY QUESTION! THEY GET EVASIVE. I AM 73 AND EARN 800 TO 1200 A MONTH PART TIME. I PAY INTO SOCIAL SECURITY STILL! WILL I SEE ANY OF THIS MONEY… EVER! WILL MY BENEFITS INCREASE… BENEFITS SEEM TO ALWAYS GO DOWN BECAUSE OF MEDICARE DEDUCTIONS…!!!!!
L.A.
Hi John. Please note that each year we review the records for all Social Security recipients who work. If your earnings for the previous year are higher than one of the years we originally used to calculate your benefits, we will recalculate your benefit and notify you of any changes in the amount of your benefits. But, if your earnings are not higher than any of the years we originally used to calculate your benefits, then the amount of your benefits will not increase. To learn more about how work and benefits, please read our publication titled “How Work Affects Your Benefits.” We hope this helps.
Anthony B.
How can I down load a copy of “Schedule of Social Security Benefit Payments 2020” ?
A.C.
Hi, Anthony. For future pay dates, you may find the schedule of Social Security benefits payment calendar useful. We hope this helps.
Mary A.
If you took early retirement at 62 can you reapply at 78 for a larger amoun