In 2021, those collecting Social Security benefits saw an increase of 1.3%.
For 2022, they’ll see an increase of 5.9%. This is the highest boost in 39 years.
The maximum monthly payment will now be $4,194, while the average benefit will be under $1,657.
The average increase per month will be around $92 for 2022.
How can I find out what I’ll be paid in Social Security benefits?
If you receive benefits now and don’t know what to expect yet, multiply your current payment by 5.9%.
What you collect is based on your 35 highest wage earning years.
Related: Everything you need to know about penalties for retiring and collecting Social Security benefits early
If you do not work for at least 35 years then $0 will be averaged into those 35 averaged yearly salaries.
The cost of living adjustment, or COLA, is determined by using the Consumer Price Index for Urban Wage Earners and Clerical Workers.
What to expect when claiming retirement benefits
You can start claiming these benefits as early as 62, but you won’t get the full benefits unless you wait until your full retirement age.
If you were born after 1960, that age is 67.
If you wait until age 70 to retire, your benefits will rise by 8% for each year you waited.
Here are the averages you would make based on your salary and current Social Security numbers
- Salary of $25,000: $774 for retiring at age 62, $1,099 for retiring at age 67, and $1,363 for retiring at age 70
- Salary of $50,000: $1,130 for retiring at age 62, $1,605 for retiring at age 67, $1,990 for retiring at age 70
- Salary of $75,000: $1,486 for retiring at age 62, $2,111 for retiring at age 67, $2,618 for retiring at age 70
- Salary of $100,000: $1,824 for retiring at age 62, $2,591 for retiring at age 67, $3,213 for retiring at age 70
- Salary of $150,000: $2,148 for retiring at age 62, $3,050 for retiring at age 67, $3,782 for retiring at age 70
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