If I am not working and not getting SS yet, does the amount I will receive still go up 8% a year?

Hi,

If you're eligible for Social Security retirement benefits but you haven't started drawing them and if you're between full retirement age (FRA) and age 70, then yes your benefit rate would increase by 8% per year (i.e. 2/3rds of 1% per month) until you reach age 70 unless you start drawing your benefits before then. Those increases are caused by delayed retirement credits (DRC), and you don't need to be working in order to accrue DRCs.

If you aren't yet FRA then your benefit rate would not increase by 8% per year if you aren't working. Social Security retirement benefits are reduced at an annual rate of 5% to 6 & 2/3rds% per year if you start drawing prior to FRA, so you can avoid those reductions by not drawing your benefits early. However, the resulting increase in your eventual benefit rate between ages 62 to FRA amounts to somewhat less than 8% per year.

Best, Jerry