Social security future benefits
Those already receiving SS benefits will see a relatively large increase in 2022 due to inflation. I’m not yet receiving benefits. Will my base rate for when I choose to file also be adjusted by this percentage?
Terry Says
It won’t be adjusted by the same percentage. There’s a completely different calculation for the base rate payment for future retirees. It is based on a complex formula that includes the “average” wages for employees, and is re-set ever year for that year’s retirees. But inflation, and higher wages, will definitely improve your initial base payment when you start taking SS.
Wait as long as you can to take SS — certainly until your full retirement age of 67. And if you can wait longer, you will get an additional 8% added to your base amount every year until age 70 when you MUST start taking SS. That higher base rate will also be the base on which future COLAs are added!
