FIRE effect on SS benefits

[JOBO]

Ssa estimate

I figured it out.
I had to paste the SSA info into notepad then CTRL-H to replace the single tab between each column with a space then remove the trailing space from the end of each row.

In my case stopping W2 earnings at 57 and collecting SS at 62 only reduced annual benefit by $450 between working until 60 and starting SS at 62.


Thank you!

 

[gregable]

I figured it out.
I had to paste the SSA info into notepad then CTRL-H to replace the single tab between each column with a space then remove the trailing space from the end of each row.

I suspect it's the space at the end of the row. I'll adjust the code for that. Thanks for the update.

 

[Easy Rider]

Very helpful info - My last mailed ss benefits was mailed out 2010, I was using that to estimate benefits for the future.

I worked 2 more years after 2010 and retired in 2012 at at 49. I think back then I calculated that adding those extra years with zero income I saw a relatively small reduction of benefits.

I have 33 years of taxed ss earnings - with about 5 years of that as low income while working thru my undergraduate years.

I just went to the ss website - very nice they have added zeroes in for the last 5 years. I take it that means the estimated payouts now take zero as future earning also. So that gives me the best true estimate.

I am completely surprised that this amount is even more than was projected back in 2010 with an assumed future earning at a high amount. Those low earning years and zero earning years (essentially 7 zero years of 35 total) really has minimal impact for me.

 

[Easy Rider]

Good to note that the estimated SS benefits are based on today's dollar. That explains why my benefits are projected higher today than in 2010 even after 5 years of zeros.

 

[Crabby Mike]

Good to note that the estimated SS benefits are based on today's dollar. That explains why my benefits are projected higher today than in 2010 even after 5 years of zeros.

If you haven't looked since 2010, there has been a COLA every year but one:

2011 3.6
2012 1.7
2013 1.5
2014 1.7
2015 0.0
2016 0.3
2017 2.0
2018 2.8

 

[gregable]

Crabby Mike is right. You can view all of the Cost-of-Living adjustments here:
https://www.ssa.gov/OACT/COLA/colaseries.html

Note that these only affect your benefit amount until you reach retirement age. Until then your benefits are adjusted upwards ever year by the Average Wage Index. For example, if the average wages in the US increase by 2%, so will your expected benefit. The difference between wage inflation and cost of living inflation is somewhat minor though, both are types of inflation.

Essentially when thinking about social security, you should just assume everything will be adjusted for inflation for you, so everything is in today's dollars. There is a bit of a more detailed explanation here.

 

[ncbill]

Very helpful info - My last mailed ss benefits was mailed out 2010, I was using that to estimate benefits for the future.

I worked 2 more years after 2010 and retired in 2012 at at 49. I think back then I calculated that adding those extra years with zero income I saw a relatively small reduction of benefits.

I have 33 years of taxed ss earnings - with about 5 years of that as low income while working thru my undergraduate years.

I just went to the ss website - very nice they have added zeroes in for the last 5 years. I take it that means the estimated payouts now take zero as future earning also. So that gives me the best true estimate.

I am completely surprised that this amount is even more than was projected back in 2010 with an assumed future earning at a high amount. Those low earning years and zero earning years (essentially 7 zero years of 35 total) really has minimal impact for me.

Once a worker passes the second "bend point" (one example I saw had that under $700k) of total earnings there's very little added to the monthly benefit.

 

[Vacation4us]

My calculated SS took quite a haircut with the tool. My earnings were low for 25 of my 35 years. Between making less in the 1990's than now and only working per diem while being a stay at home Mom I see almost a 50% haircut compared to my current statement, from a projected $2500/ month at today's earnings to $1300 weather I retire in 2 years at 54 or stay 6 more. No amount will get me to stay until FRA at 67.

That 2.5k went poof.

 

[camfused]

The site creator here...

gregable, thanks so much for creating/maintaining this tool! It is *very* helpful and easy to use. You rock!

 

[RobLJ]

I used the SSAgovtools, estimated 40k/year for my part-time work this year and next, (I'm currently 61), then no income after that.
I was surprised to learn that at FRA, the monthly benefit would only decline 13$. I had assumed it would be 100$ or so since I hadn't tried the tool on the SS.gov site.

It took me about 3 minutes to log into SS.gov and paste my data in, then estimate remaining earning.
Thanks for the thread; this has been reassuring. I'll do DW's estimate tomorrow.

 

[PatrickA5]

gregable, thanks so much for creating/maintaining this tool! It is *very* helpful and easy to use. You rock!

Another thank you for this SS tool. So much easier than the one on the SS website!

 

[kite_rider]

Another thank you for this SS tool. So much easier than the one on the SS website!

One more big 'thumbs up' to the author of the tool. Site worked flawlessly for me and TONS of great information. One day I may be less of a SS skeptic, but still waiting to see some political will for reform for solvency rather than expanded benefits for those already eligible for benefits..

 

[fosterscik]

It looks like a cool tool, but...
When I enter my data it generates a formatted earning list (with indexed earnings), and tells me my pia is zero.
I have a 27 year earning record (well above the 40 credit minimum); there is clearly an error somewhere. I do not have 35 years of earnings (perhaps that's an assumption the author makes?) but my earnings are substantial enough that 5 years of zero earnings does not have that large an effect; I am well above the second bend point.

 

[joeea]

No amount will get me to stay until FRA at 67.

Stay what?

You mean stay employed? Or delay collecting your social security benefits? Or something else?

 

[Vacation4us]

Stay what?

You mean stay employed? Or delay collecting your social security benefits? Or something else?

Stay employed. My benefit amount doesn't go up substantially unless I work 15 mor years until 67.

Family history says I need to go asap and may not make it to FRA

 

[joeea]

Stay employed. My benefit amount doesn't go up substantially unless I work 15 mor years until 67.

Family history says I need to go asap and may not make it to FRA

Okay.

Hopefully before you made up you mind you also consider the impact on any spousal/survivor benefits as well. Although perhaps the money doesn't matter for you anyway, so it's not even worth considering.

It's often an easy decision when no amount of money can change your mind.

Good luck.