Social Security estimates

[Senator]

All of the previous years of SS taxed earnings get multiplied by an index factor. Then you take the highest 35 and calculate the Average Indexed Monthly earnings.

Do not forget that any years that have less than the 'Substantial' earnings (WEP) limit do not count at all from what I have read. That is something I just learned.

So, in my situation, the year I worked while in high school, and the year I worked for mainly cash while in college doesn't count... I still have 38 other years to choose from.

 

[MichaelB]

Do not forget that any years that have less than the 'Substantial' earnings (WEP) limit do not count at all from what I have read. That is something I just learned.

So, in my situation, the year I worked while in high school, and the year I worked for mainly cash while in college doesn't count... I still have 38 other years to choose from.

SS establishes the minimum amount needed to qualify for a quarter. The current amount is $1220. See here Quarter of Coverage

My high school and college work days sure do count, otherwise I'd not be eligible for SS or Medicare

 

[Senator]

SS establishes the minimum amount needed to qualify for a quarter. The current amount is $1220. See here Quarter of Coverage

My high school and college work days sure do count, otherwise I'd not be eligible for SS or Medicare

To be honest, the WEP/Substantial earnings test is still a bit confusing for me. It may only affect persons who work for the federal government and had a pension.

I was going to pay my DGF a wage to get her above the first SS bend point hurdle to help her get 35 years in. After reading about this, it made it seem like it was not worthwhile.

Now, after reading it again, it may seem like a worthwhile way for her to add to SS, add to a Roth, get a healthcare subsidy, and help her retirement while her investment account is allowed to grow for another 10+ years.

So, I need to do some additional reading.