Why Your Social Security Statement Is Probably Wrong

“These personalized estimates are based on your earnings to date and assume you continue to earn $XXX,XXX per year until you start your benefit.”

When you receive your Social Security estimate, it assumes you will work until you collect benefits, and that is not always the case. For example, someone might retire at age 60 and wait a few more years to collect benefits.  

If this is the case for you, the best way to estimate your actual benefit is to use the Social Security Administration’s online calculator and enter in your earnings by year, which can be found on the 3rd page of your Social Security statement. Then add a $0 for the year you plan to retire and for all future years.  This will provide you with a more accurate benefit estimate.

Thank you for reading, 

Alex 

This blog post is not advice. Please read disclaimers.