Social Security was originally intended to provide older Americans with continuing income after retirement. As people approach retirement, they generally have questions about Social Security and the benefit it provides. 

How much will your retirement benefit be?

Your retirement benefit is based on your average earnings over your working career. Your age at the time you start receiving benefits also affects your benefit amount. You can retire early at age 62, but the longer you wait (up to age 70), the higher your retirement benefit. You can check your earnings record and get an estimate of your future Social Security benefits by visiting the Social Security Administration (SSA) website at www.ssa.gov. You can also sign up for a mySocial Security account so that you can view your statement online. If you're not registered for an online account and are not yet receiving benefits, you'll receive a statement in the mail every year, starting at age 60.

Retiring at full retirement age

If you retire at full retirement age, you'll receive your full retirement benefit. Your full retirement age depends on the year in which you were born.

Retiring early will reduce your benefit 

You can begin receiving Social Security benefits before your full retirement age, as early as age 62. However, if you retire early, your Social Security benefit will be less than if you wait until your full retirement age. If you choose to draw Social Security early and continue to work, the income you earn could decrease your Social Security benefit.  Once you reach full retirement age, you can work and earn as much income as you want without reducing your Social Security retirement benefit.

Delaying retirement will increase your benefit 

For each month that you delay receiving Social Security retirement benefits past your full retirement age, your benefit will permanently increase. For anyone born in 1943 or later, the annual percentage is 8%. So, for example, if your full retirement age is 67 and you delay receiving benefits for 3 years, your benefit at age 70 will be 24% higher than at age 67.

Retirement benefits for qualified family members 

Even if your spouse has never worked outside the home, he or she may be eligible for spousal benefits based on your Social Security earnings record. Other members of your family may also be eligible. Retirement benefits are generally paid to family members who relied on your income for financial support. If you're receiving retirement benefits, the members of your family who may be eligible for family benefits include:

• Your spouse age 62 or older, if married at least one year

• Your former spouse age 62 or older, if you were married at least 10 years

• Your spouse or former spouse at any age, if caring for your child who is under age 16 or disabled

• Your children under age 18, if unmarried

• Your children under age 19, if full-time students (through grade 12) or disabled

• Your children older than 18, if severely disabled

Your eligible family members will receive a monthly benefit that is as much as 50% of your benefit. However, the amount that can be paid each month to a family is limited.

When do you sign up for Social Security?

You should apply for benefits two or three months before your retirement date. If you have any questions about your Social Security benefit, please give us a call and we can walk you through the process.