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Is There A Maximum Social Security Benefit Amount An Individual Can Receive?

Is there a maximum social security benefit amount an individual can receive? I thought I read that in 2020, the maximum social security was $3,145. Is that correct? I was concerned if that is the case because will be collecting my DCR in October 2022, and was given my estimated at $2,882 per month, that didn't include my 2021 earnings and Cola.

Hi. No, there is no fixed maximum Social Security benefit amount. The maximum possible benefit rate that a person could receive at any given time depends on their year of birth. Social Security retirement benefits are based on an average of a person's highest 35 years of Social Security covered wage-indexed earnings, and the factors used to index earnings are different for each year of birth. So, in other words, if 2 people had the exact same earnings histories but if they were born in different years, their indexed earnings and their highest potential benefit rate would be different.

Furthermore, people who continue working and paying into Social Security can potentially keep increasing their Social Security retirement benefit rate indefinitely. Retirement benefits can be recalculated after any year in which a person earns more than they did in one of their previous highest 35 years of indexed earnings. Therefore, the maximum possible benefit rate for each year of birth changes every year even before considering cost of living (COLA) increases.

Our software ( includes a benefit calculator you can use to accurately calculate your benefit rate based on your year of birth and any projected future earnings that you expect. The software also allows you to compare various filing strategies so that you can determine the best strategy for maximizing your benefits.

Best, Jerry

Sep 29 2021 - 7:27pm
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