Benefits from Social Security are usually $1,500 per month, however, this amount varies based on the individual’s lifetime earnings. It’s also worth remembering that this might change depending on when you decide to start receiving these benefits.
However, there is a big lifehack you can apply to raise this advantage by up to $800 each month, and we’ll show you how. Inflation has taken a toll on Social Security benefits, reducing the amount of money available to the typical American citizen or resident.
Inflation affects Americans’ budget
In the last year, all prices have increased by an astonishing 6%. To put it another way, throughout the better part of the preceding decade, inflation was controlled around zero. According to Marca, prices have risen dramatically in practically every major category in less than a year.
Inflation has thrown a knot in the ordinary American’s Social Security payments and how much they cover. In the last 12 months, prices have risen by a stunning 6% overall.
To put that in context, inflation remained around zero for the larger part of the prior decade, yet prices in practically every major category rose dramatically in less than a year. Grocery costs, for instance, have risen by as much as 12% in some categories, a sector that has a significant impact on older adults living on fixed incomes.
Hack to increase Social Security benefits
To adjust, the cost-of-living increase in 2022 will be 5.9%, the highest in over 40 years. If you, like millions of other Americans, still feel like you need more money, here are some tried-and-true methods for boosting your earnings.
The method is extremely specific: you must wait until you are 70 years old to claim your benefit, at which point your monthly payments will grow by around two-thirds of one percent, for a total increase of 8% for each year you wait.
This implies that if you wait until that age, your monthly benefits will increase to $1,888 simply for not claiming it at the start of your legal period. That’s a total of a 24 percent increase in the monthly benefit. These credits accumulate until you reach the age of 69, but they work in the opposite direction if you opt to take advantage of the benefits early, as per Go Banking Rates.
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