In the imminent week, the second tranche of Social Security payments for December will be distributed, presenting a lucrative sum of up to $4,555 for individuals who have reached the age of 70 and opted for retirement. Senior citizens falling within the birthdate range of the 11th to the 20th of any given month can anticipate the arrival of their payments promptly on Wednesday, December 20.
Conversely, those Social Security beneficiaries born on the 21st day of the month or later will experience the distribution of their financial allocations during the third payment cycle on December 27. Notably, those born in the initial ten days of the month have already received their stipends on the preceding Wednesday.
Social Security Payments to Increase 3.2%
In the upcoming year, the Social Security Administration has some good news. Monthly payments are set to increase by 3.2% in January 2024, thanks to the program’s annual adjustments based on inflation, which is called Cost of Living Adjustment (COLA). This percentage increase applies uniformly to all payments disbursed by the administration, covering retirement and disability pay alike. So, here’s to a brighter and more prosperous year ahead for all retirees!
The monthly payout for retirees is influenced by several factors, such as the contributions made to Social Security and the total number of years contributing. However, the primary factor determining the maximum amount a retiree can receive is their retirement age.
Social Security Payments Regarding the Retiree’s Age
If you decide to retire at the tender age of 62, you could receive up to $2,572 per month. On the other hand, if you choose to savor the joys of retirement until age 70, you could be looking at a maximum monthly payout of $4,555, as reported by the SSA.
For those who retired at 67, December could bring a payout of up to $3,627. It’s essential to note that not every retiree will receive the maximum amount, as individual circumstances play a role.
What You Can Do Now for a Higher Social Security Benefit in 2024
Ensure the accuracy of your earnings history by paying attention to those annual statements from the SSA that you may have been receiving since your mid-60s. These statements not only estimate your monthly Social Security benefits but also provide a summary of your wages.
Take a closer look, as any underreported income could result in smaller monthly paydays during your retirement. If you’ve misplaced these statements, don’t worry—simply create an account on the SSA’s website to access them. Correcting any errors in your reported wages could mean securing more Social Security income for the rest of your life.
Collaborate with your spouse to develop an optimal filing strategy for Social Security benefits. Whether both of you plan to file or just one, have a conversation to outline a joint filing strategy.
Consider scenarios such as having your spouse claim benefits in January while you wait until later in the year. Delaying your filing could lead to a significant boost in benefits. These strategic moves are essential for maximizing your Social Security income, providing financial comfort in retirement, and ensuring you don’t settle for less.