Social Security has made some important updates for retirees born between the 1st and the 10th of the month. This month, retirees will see three Social Security payments on different Wednesdays.
If you qualify, you might notice a new deposit in your account soon. Here’s what you need to know about these payments and how Social Security benefits work.
Monthly Payments for Retirees
Social Security has introduced new monthly payments for retirees. If you were born between the 1st and the 10th of the month, you’ll receive your payment on the second Wednesday. Retirees born on other days will get their checks on different Wednesdays throughout the month.
How Much Will You Get?
Eligible retirees usually receive about $1,900 each month. However, the exact amount can vary based on when you started claiming benefits, your work history, and the Social Security taxes you paid. Here’s a quick look at potential payment amounts:
- Retire at Age 67: You could receive up to $3,822 per month.
- Retire Early: Payments might be around $2,710 per month.
- Retire at Age 70: Payments could go up to $4,873 per month, depending on your contributions.
Who Qualifies for Social Security?
To qualify for Social Security, you must have worked and paid Social Security taxes for at least ten years, which equals 40 credits. Social Security supports not just seniors but also eligible spouses, children, and sometimes the parents of deceased workers.
Additional Payment Information
If you are applying for benefits or already receiving them, the Social Security Administration (SSA) calculates your payment based on your full retirement age (FRA) and work history. Delaying retirement can lead to higher payments, while retiring early might reduce them.
Payment Schedule for This Month
Here are the confirmed Social Security payment dates for this month:
- Before May 1997: July 3rd (Wednesday)
- Born between the 1st and the 10th: July 10th (2nd Wednesday)
- Born between the 11th and the 20th: July 17th (3rd Wednesday)
- Born between the 21st and the 31st: July 24th (4th Wednesday)
Creating a Retirement Budget
To make the most of your retirement benefits, it’s important to create a retirement budget. Follow these three steps to plan:
- Estimate Your Retirement Income Goal: Most retirees think they need about $1.46 million to retire comfortably, but this amount can vary based on your personal goals.
- Determine Your Living Expenses: Consider all your expenses during retirement, including housing, food, insurance, debt, childcare, and recreation. Don’t forget to include healthcare costs, as they often increase during retirement.
- Develop a Spending Strategy: Track your spending and adjust for lifestyle changes. Use a budgeting app, spreadsheet, or even a pen and paper to compare your actual income and expenses. Adjust your budget as needed to stay within your means.
Understanding your Social Security benefits and creating a solid retirement budget can help ensure a comfortable and secure retirement. It’s a good idea to review your situation with a financial advisor or Social Security expert to find the best strategy for your needs.
When will Social Security payments be made this month?
Payments will be made on July 3rd, 10th, 17th, and 24th, based on your birthdate and when you started collecting benefits.
How much can I expect to receive from Social Security each month?
On average, retirees receive about $1,900 per month, but the amount can vary based on your work history and retirement age.
What are the requirements to qualify for Social Security benefits?
You need to have worked and paid Social Security taxes for at least ten years, which equals 40 credits.
How can delaying retirement affect my Social Security payments?
Delaying retirement can increase your monthly payments, while retiring early might reduce the amount you receive.
What steps should I take to create a retirement budget?
Estimate your income goal, determine your living expenses, and develop a spending strategy to manage your retirement funds effectively.