Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Future Soc Sec payment estimate question
Old 04-04-2019, 04:28 PM   #1
Dryer sheet wannabe
 
Join Date: Oct 2017
Posts: 21
Future Soc Sec payment estimate question

I'm retiring at age 57. I intend to wait until 67 to take SS. I have over 35 years of earnings. Is the retirement benefit estimate on ssa.gov for FRA locked in or is it affected by my no longer contributing between age 57 and 67?

Thanks,
Dave
WestwardBound is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 04-04-2019, 04:32 PM   #2
Moderator
braumeister's Avatar
 
Join Date: Feb 2010
Location: Flyover country
Posts: 19,228
It's based on your highest 35 years of earning.
__________________
I thought growing old would take longer.
braumeister is offline   Reply With Quote
Old 04-04-2019, 04:34 PM   #3
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
RunningBum's Avatar
 
Join Date: Jun 2007
Posts: 11,381
You'd have to read what it says but I think it probably assumes you're going to keep working until FRA, making the same as you have been. This could be replacing some early lower wage earning years with higher earning years, so it could be estimating your benefit a little high. I doubt it's that much higher though.

Try it yourself putting in an estimate of the partial amount for your last year of working, and zeros after that.
RunningBum is offline   Reply With Quote
Old 04-04-2019, 04:34 PM   #4
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
SecondCor521's Avatar
 
Join Date: Jun 2006
Location: Boise
Posts: 5,718
If you worked some of those additional years between 57 and 67 and if your income during any of those years was greater (on an inflation-adjusted basis) than any of your existing 35 years of earnings, then your SS benefit would go up. But probably not by much, especially if you were a relatively high earner.

Your existing SS benefit won't decay or anything. There are some wage and inflation adjustments that will be applied between now and whenever you apply for SS, but those are beyond my understanding.

If it helps, I've been retired for about three years and check my SS benefit about every year. So far it hasn't gone down at all. I think it may have even gone up a few bucks.
__________________
"At times the world can seem an unfriendly and sinister place, but believe us when we say there is much more good in it than bad. All you have to do is look hard enough, and what might seem to be a series of unfortunate events, may in fact be the first steps of a journey." Violet Baudelaire.
SecondCor521 is offline   Reply With Quote
Old 04-04-2019, 04:36 PM   #5
Thinks s/he gets paid by the post
 
Join Date: Jun 2016
Posts: 1,265
There is a specific SSA calculator where you can assume 0 income between now and start of SS. Depending on your past income history, the change usually isn't very big.
Spock is offline   Reply With Quote
Old 04-04-2019, 04:43 PM   #6
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Sunset's Avatar
 
Join Date: Jul 2014
Location: Spending the Kids Inheritance and living in Chicago
Posts: 12,090
OP - in the 10 years you will be waiting for SS, the estimated amount will correct itself once they realized you stopped working and start using ZERO for future earnings.
Plus inflation increases will increase the overall number so what you get will probably be a little more than what shows right now, as long as your earnings were quite steady.
__________________
Fortune favors the prepared mind. ... Louis Pasteur
Sunset is offline   Reply With Quote
Old 04-04-2019, 05:37 PM   #7
Dryer sheet wannabe
 
Join Date: Oct 2017
Posts: 21
Thanks all.
WestwardBound is offline   Reply With Quote
Old 04-05-2019, 02:05 AM   #8
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jan 2018
Location: Tampa
Posts: 8,600
The below link is the SS calculator whereby you can input zero income for X number of years, so the SS calculation is more realistic vs, an assumption within the calculator that you will be earning your current earnings until FRA.

https://www.ssa.gov/benefits/retirement/estimator.html
__________________
TGIM
Dtail is online now   Reply With Quote
Old 04-05-2019, 04:07 AM   #9
Dryer sheet wannabe
 
Join Date: Oct 2017
Posts: 21
Quote:
Originally Posted by Dtail View Post
The below link is the SS calculator whereby you can input zero income for X number of years, so the SS calculation is more realistic vs, an assumption within the calculator that you will be earning your current earnings until FRA.

https://www.ssa.gov/benefits/retirement/estimator.html
Thanks for the link.

Using this calculator, I entered 67 as retirement age and 0 earnings between now (age 57) and age 67. It estimated about 300 less per month from $3053 to $2759.
WestwardBound is offline   Reply With Quote
Old 04-05-2019, 05:03 AM   #10
gone traveling
 
Join Date: Mar 2015
Posts: 3,508
Quote:
Originally Posted by Dmesserly View Post
Thanks for the link.

Using this calculator, I entered 67 as retirement age and 0 earnings between now (age 57) and age 67. It estimated about 300 less per month from $3053 to $2759.
Hmm, 300 seems excessive. These sorts of estimate changes are usually minimal.

You should try again and double check your answer.
joeea is offline   Reply With Quote
Old 04-05-2019, 05:47 AM   #11
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
 
Join Date: Jan 2018
Location: Tampa
Posts: 8,600
Quote:
Originally Posted by joeea View Post
Hmm, 300 seems excessive. These sorts of estimate changes are usually minimal.

You should try again and double check your answer.
I agree, it does sound high. If you have been near the maximum in "SS inflation adjusted earnings" and hit the 2nd bend point, it probably should be much less than a $300 monthly reduction.
__________________
TGIM
Dtail is online now   Reply With Quote
Old 04-06-2019, 04:39 AM   #12
Full time employment: Posting here.
 
Join Date: Aug 2015
Posts: 870
He never stated 35 max years. If his current years are near max, then the current SSA esrimate would be replacing 8 years with near max. $300/m reduction would be easy.
Perryinva is offline   Reply With Quote
Old 04-06-2019, 11:50 AM   #13
Thinks s/he gets paid by the post
 
Join Date: Jul 2004
Posts: 1,501
I would also use a 25% reduction fudge-factor (I am near your age) as a hedge against a possible reduction in benefits due to federal financial issues with SSN if you are doing retirement financial calculations. It would be for a worst case scenario and is a prudent risk scenario in my estimation.
__________________
Deserat aka Bridget
“We sleep soundly in our beds because rough men stand ready in the night to visit violence on those who would do us harm.”
deserat is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
What happens to my soc sec if I stop working at 45? green night FIRE and Money 22 01-22-2011 12:22 PM
% of income from Soc Sec & Pensions Midpack FIRE and Money 45 07-03-2008 10:33 PM
Soc Sec penalty question sailfish FIRE and Money 2 06-11-2008 05:40 PM
Deferred Compensation and Early Soc Sec 4th&Goal FIRE and Money 3 11-30-2007 08:18 PM
Prudential White Paper on Maximizing Soc Sec hogwild FIRE and Money 89 05-24-2006 04:05 PM

» Quick Links

 
All times are GMT -6. The time now is 06:40 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2021, vBulletin Solutions, Inc.