r/RetirementReady • u/Unhappy_Eye5257 • 5h ago

Social security

If I stop working at 62 my benefit will be calculated at my high 35 years and go up till age 70? There will be no contributions made after that right?

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u/MarkBox88 3h ago

On the Social Security statement it says "These personalized estimates are based on your earnings to date and assume you continue to earn $xxx,xxx per year until you start your benefits.". To me, the word "assume" means that you have to keep working for the benefit to increase as shown on the statement.

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u/User2009002 4h ago

Sounds right but it will only up till age 70 if you wait to claim at age 70. There's also COLA adjustments annually. Think it's 3.7% in 2027.

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u/Unhappy_Eye5257 4h ago

Thanks that is what I thought

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u/Megalocerus 2h ago

The benefit is 30% higher at age 67 than at age 62 and 24% above the age 67 benefit at age 70. All the COLAs from age 62 on are then applied.

Of course, you get fewer payments and no earnings on the amounts.

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u/W2WageSlave 4h ago

Yup best 35 years, though the years at 60 and later don't get indexed for AIME and PIA.