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Can I Accurately Calculate My Age 70 Rate By Increasing My "Take Now" Rate By 8% Per Year?

Hello again Larry,
Thanks for the good info on WEP and UK state pension. I have just checked my SS online account and see that my estimated benefit at 70 has reduced by about 500USD a month. Also that my "take now" benefit only went up 4% for last year (62 to 63). I am thinking this because I have not had any earnings since retiring at 60? If this is the case can I expect further reductions on potential benefits and/or would it be accurate to say I can calculate an 8% increase per year on my "take now" amount even if I do not have any earnings in the future.



Hi Clive,

The benefit estimates provided by Social Security online and by mail assume that you will continue to have the same amount of annual earnings that you had in the most recent year posted to your Social Security earnings record. The estimates show the amount of assumed earnings that they've included in their calculations, so if no future earnings have been included in your case then the amounts that Social Security quoted you should be fairly accurate.

It wouldn't be accurate, though, to calculate your age 70 rate by increasing your age 62 or 63 rate by 8% per year. The 8% annual rate increase that results from delayed retirement credits won't start until you reach full retirement age (FRA). The percentage rate increase would be lower than that for years prior to FRA.

To get an accurate estimate of your future benefit rate, I would suggest that you consider using our software ( That way you can make sure that the estimate is based on your complete and correct earnings. Plus, the software is fully programmed to calculate the effect of any benefit rate reductions that may result from the Windfall Elimination Provision (WEP).

Best, Jerry

Jan 30 2020 - 12:29pm
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