Handfuls of retirees receive one benefit per month from Social Security. And while it is true, that money can serve as extra money for some, for other people it is essential to pay for essential expenses such as housing, transportation and food. You may be curious to know how your Social Security benefits per month compares to that of the average retiree. And there is an answer, provided by the Social Security Administration.
In the month of July of this year, the average retired worker who was a Social Security beneficiary was $1,919.40. That equates to a little more than $23,000 annually in benefits. Fortunately, that average monthly benefit should see an increase in 2025, once Social Security beneficiaries get their annual COLA, or cost-of-living adjustment. Recent estimates put this increase at 2.57%, which would make a monthly profit of $1,919.40 go to $1,968.73. Obviously, that 2.57% isn’t set in stone, so next year’s average profit may vary.
How to Get a Higher Social Security Benefit
If you haven’t retired yet and the average benefit of $1,919.40 doesn’t seem like much to you, there are steps you can take to get more money from Social Security. And if you’re already retired and are required to receive a lower monthly Social Security benefit, there are ways to make that income go even further.
The monthly Social Security benefit you are entitled to during retirement will depend on your salary, specifically, the amount you earn over your 35 highest-paying years in the workforce. If you want to receive more money in your Social Security benefits in retirement, do everything you can to increase your income, whether by getting a promotion or strategically changing jobs to get a higher salary. Developing skills is a great way to prepare yourself to do both, as is making the most of the mentoring programs your employer offers.
It’s also extremely important to make sure you’ve worked a full 35 years so you can receive a more generous Social Security check every month. If you’re nearing the end of your career and are a little short on money in that regard, consider delaying your retirement.
You can also get a lot more money from Social Security if you wait to apply after full retirement age, which is age 67 for anyone born in 1960 or later. For each year you postpone your claim beyond that age, up to age 70, your monthly benefit will increase by 8%.
How to Make the Most of the Social Security Benefit You Have
If you are retired and receive much less than $1,919.40 per month from Social Security, then you may be having difficulty making ends meet, especially if you have no other income available to you. If that’s the case, you can make up for the “having no other income” part by joining the informal economy.
Working even a few hours a week at your own pace could result in good financial help that helps you earn extra, at least to pay your bills. And, in case you’re not sure, it’s okay to work while receiving a monthly Social Security benefit. If you do this before you have reached full retirement age, then you will have to take this year’s earnings test limits into account.
