Staying informed about how to maximize your Social Security benefits is crucial for a secure retirement. This guide will help you understand how to potentially increase your Social Security benefits up to $16,728 annually.
$16,728 Social Security Bonus in US
Inflation and rising costs can strain retirees living on fixed incomes. The good news is that Social Security payments, funded by American taxpayers, are adjusted annually for inflation using the cost-of-living adjustment (COLA).
Although there’s no direct “bonus,” strategies exist to maximize your benefits. The Social Security Administration (SSA) calculates benefits based on lifetime earnings. Delaying benefits until age 70 can significantly increase your annual benefits, potentially up to $16,728.
Maximizing Your Social Security Bonus
Here are some strategies to maximize your Social Security benefits:
Extend Your Employment Duration
Your highest 35 years of earnings determine your Social Security payments. Low or zero-income years reduce your benefits. By working longer, you replace low-earning years with higher-earning years, increasing your benefits.
Boost Your Income
Increasing your income over your working years boosts your Social Security benefits. Requesting raises every few years or changing employers to secure higher pay can help. For instance, earning $100 more weekly translates to $5,000 more annually, increasing your future benefits.
Delay Collecting Benefits
You can start receiving Social Security benefits at 62, but waiting until 70 significantly increases your benefits. Your full benefit amount is guaranteed if you wait until 70. Each year you delay increases your benefits by about 8% until age 70. Considering inflation, benefits at 70 are 76% higher than at 62.
Applying for Social Security Payments
You can apply for Social Security benefits online, over the phone, or in person, depending on your citizenship status.
Online Applications
The online application process is convenient and accessible, especially for those living abroad or unable to visit a local office. This method allows you to complete your application from anywhere.
Non-Citizen Application Process
Non-citizens must first obtain a work permit authorized in the US to receive Social Security benefits. Once you have a Social Security number (SSN), you must provide proof of identity and immigration status to qualify for benefits.
Estimated Social Security Benefits for 2024
The Senior Citizens League (TSCL) projects a 3.2% increase in Social Security benefits for 2024, following the recent COLA rise.
This projection estimates the average Social Security payout will increase from $1,790 to $1,847.30. While this increase is lower than the previous year’s 8.7% due to slower inflation, it is still higher than the 2.6% average over the past 20 years.
Maximizing your Social Security benefits requires strategic planning and understanding the factors that influence your payouts.
By extending your employment, increasing your income, and delaying benefits, you can significantly boost your retirement income. Stay updated with the latest projections and make informed decisions to secure a comfortable retirement.
FAQs
How can I maximize my Social Security benefits?
Extend your employment duration, increase your income, and delay collecting benefits until age 70.
What is the projected increase in Social Security benefits for 2024?
A 3.2% increase is projected, raising the average payout from $1,790 to $1,847.30.
How can I apply for Social Security benefits?
Apply online, over the phone, or in person at a local Social Security office.
What documents do non-citizens need to apply for Social Security benefits?
Non-citizens need a work permit, an SSN, proof of identity, and immigration status.
What is the COLA and how does it affect Social Security benefits?
The cost-of-living adjustment (COLA) annually adjusts Social Security payments based on inflation, ensuring benefits keep pace with rising costs.
FAQs
Many Americans have heard of the so-called “$16,728 Social Security Bonus” for 2024, but it's not exactly what people think. Contrary to rumors, this isn't a direct payout or a one-time bonus from the government. Instead, it represents a strategy to maximize your Social Security benefits through proper planning.
Is $16728 Social Security bonus real? ›
As retirement approaches, maximizing Social Security benefits becomes a top priority for many Americans. One widely discussed figure is the $16,728 Social Security bonus, which isn't a literal bonus but rather a potential increase in benefits through strategic planning.
Who is eligible for the Social Security bonus? ›
There is no specific “bonus” retirees can collect from the Social Security Administration. For example, you're not eligible to get a $5,000 bonus check on top of your regular benefits just because you worked in a specific career. Social Security doesn't randomly award money to people.
How do I get my $16728 bonus in retirement? ›
Have you heard about the Social Security $16,728 yearly bonus? There's really no “bonus” that retirees can collect. The Social Security Administration (SSA) uses a specific formula based on your lifetime earnings to determine your benefit amount.
Is Social Security sending extra checks? ›
It's all because of a quirk in the Social Security Administration's payment schedule. A few times a year, two Supplemental Security Income (SSI) checks will go out in a month instead of the usual one. May happens to be the first of three double-payment months of 2024.
At what age is Social Security no longer taxed? ›
Social Security income can be taxable no matter how old you are. It all depends on whether your total combined income exceeds a certain level set for your filing status. You may have heard that Social Security income is not taxed after age 70; this is false.
When my husband dies, do I get his Social Security and mine? ›
If the deceased reached retirement age, the surviving spouse can receive whatever the deceased was entitled to in the month of their death. Similarly, if the deceased already received monthly payments, the surviving spouse is entitled to what they received in the month of their death.
Who qualifies for a $1800 Social Security check? ›
Eligibility criteria for the $1,800 monthly benefit
To be eligible for the $1800 Social Security payment, individuals must meet specific criteria. They must be at least 62 years old, have an income below the Federal Poverty Line, and be receiving regular benefits from the SSI.
Who qualifies for an extra $144 added to their Social Security? ›
To qualify for a Medicare giveback benefit, you must be enrolled in Medicare Part A and B. You must be responsible for paying the Part B Premiums; you should not rely on state government or other local assistance for your Part B premiums.
Can I get a tax refund if my only income is Social Security? ›
You would not be required to file a tax return. But you might want to file a return, because even though you are not required to pay taxes on your Social Security, you may be able to get a refund of any money withheld from your paycheck for taxes.
What is Social Security's COLA? Since 1975, the Social Security Administration (SSA) has made an annual cost-of-living adjustment to account for changes in inflation. The COLA in 2024 was 3.2%.
Is Social Security giving a grocery allowance? ›
As of June 1, 2019 SSI recipients may be eligible for CalFresh Food benefits.
Why did I get $250 from Social Security? ›
If you're married and both you and your spouse get Social Security or SSI, you each will receive a one-time $250 payment.
Can I really get extra money from Social Security? ›
Has your income declined or have you experienced a loss of financial resources? You may be able to get additional income through the Supplemental Security Income program, which helps seniors and the disabled who have limited income and financial resources.
What is the one-time payment from Social Security? ›
* If you get your Social Security or SSI benefit payment in the mail, we'll send your $250 one-time payment by mail. * If your benefit goes directly to your Direct Express debit card, we'll deposit the $250 one-time payment to your debit card.
Will we get a raise on our Social Security check in 2024? ›
Views: How much is the increase: Social Security benefits and Supplemental Security Income (SSI) payments for more than 71 million Americans will increase by 3.2% in 2024. This is the annual cost-of-living adjustment (COLA).