Was My Benefit Rate Calculated Using Only Part Of My Delayed Retirement Credits?

Jan 19 2017 - 8:00am

I filed for benefits in July 2016 at age 69 and 7 months. Was my benefit calculated based on my age at the beginning of the calendar year? If so, will the benefit be adjusted for the additional 7 months? Also, did the calculation only include income through 2015. If so, will the benefit be adjusted for 2016 earnings? May not amount to much, but every dollar counts. Thanks.

Hi,

Yes, your initial benefit rate would have included only the delayed retirement credits (DRC) you earned through December 2015, and would have been based on your highest 35 earnings years through 2015. The additional DRCs for 2016 will be added later, and the increase will be effective with your check for January 2017. And, if your 2016 earnings were higher than one of the prior 35 highest years used in calculating your benefit rate, that rate increase would also be effective with your check for January 2017. However, both of these rate adjustments are done using an automated process that Social Security has given a relatively low priority due to budget cuts. You could probably speed up at least the earnings recalculation by submitting proof of your 2016 earnings (e.g. W-2 form) and requesting a manual recomputation.

Best, Jerry