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The average monthly Social Security retirement benefit is $1,626 as of August 2022, so it’s not going to buy you a luxurious retirement. But those monthly checks can certainly make your golden years more comfortable.
Deciding when to take Social Security is a complicated piece of retirement planning. Some people opt to start benefits sooner and take smaller checks, while others try to hold out for the biggest check. If you’re in the latter camp, we’ll discuss some strategies for how to maximize your Social Security benefits.
7 Ways to Maximize Your Social Security Benefits
We’re going to be honest: There are no easy shortcuts that will get you more Social Security. Any strategy that will boost your benefit boils down to: Work longer. Earn more money. Wait as long as possible.
One thing we want to make clear, though: Don’t count on Social Security cost-of-living adjustments to make much difference. Benefits increase at a snail’s pace compared to the actual costs of living for older adults. The 2022 Social Security COLA was 5.9%, which may sound generous, but it came at a time of soaring inflation.
1. Work at least 35 years.
You typically need the equivalent of 10 years of full-time work to qualify for Social Security. But you’ll get the highest benefit if you stay on the job for at least 35 years.
Social Security uses your 35 highest-earning years to calculate your benefit.
If you worked only 32 years, they’d use your 32 years of earnings plus three zeroes to get your 35 years. Working more than 35 years can pay off if you’re making significantly more than you were in your early career because you get to replace some of those low-earning years with higher wages.
2. Earn more money.
We get it: If only you could snap your fingers and suddenly make more money. But we’re just explaining the rules here. If you’re able to find a better-paying job or boost your earnings with part-time or freelance work , you’ll get more money…
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