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The first Social Security check was issued 83 years ago. The check, for $22.54, went to retired legal secretary Ida May Fuller of Ludlow, Vermont.
Today, in 2023, the average retirement benefit is $1,827 per month, according to the Social Security Administration.
The maximum Social Security benefit for someone retiring at full retirement age is $3,627 per month. Full retirement age currently ranges from 66 to 67, based on date of birth.
How much you collect in retirement is mostly based on how much you earn during your career.
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But there is a way you can increase the monthly checks you receive — delaying benefits.
Recent research finds all U.S. workers ages 45 to 62 would benefit from waiting until beyond age 65 to start receiving benefits.
Meanwhile, more than 90% would benefit from waiting until age 70.
But only about 10% of workers actually wait until then, according to estimates from Boston University economics professor Larry Kotlikoff, Federal Reserve Bank of Atlanta executive vice president David Altig and Opendoor Technologies research scientist Victor Yifan Ye.
Claiming before age 70 results in an estimated median household loss of $182,370 in lifetime discretionary spending for claimants ages 45 to 62, the researchers found.
“The return on being patient is huge with Social Security,” Kotlikoff said.
Why it pays to wait to claim Social Security
Eligibility for Social Security retirement benefits starts at age 62 for workers who have earned 40 credits, or 10 years of qualifying work.
Workers and employers each pay a 6.2% payroll tax toward Social Security. In 2023, that tax applies on up to $160,200 in earnings.
Those contributions count toward the Social Security retirement benefits workers may claim later in life. Generally, the higher your…
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