How is Social Security determined?

Social Security benefits are based on your lifetime earnings. Your actual earnings are adjusted or “indexed” to account for changes in average wages since the year the earnings were received. Then Social Security calculates your average indexed monthly earnings during the 35 years in which you earned the most.

How do I know how much Social Security I have paid?

Most people can receive an estimate of their benefit based on their actual Social Security earnings record by going to You also can calculate future retirement benefits by using the Social Security Benefit Calculators at

How are your Social Security benefits determined when you retire?

Your Social Security benefit is decided based on your lifetime earnings and the age you retire and begin taking payments. Your lifetime earnings are converted to a monthly average based on the 35 years in which you earned the most, adjusted for inflation.

How does the formula for Social Security work?

Here are those three key factors. Image source: Getty Images. 1. Average indexed wages Social Security uses a specific formula to determine how much your monthly check is. The key to this formula is the calculation of your Average Indexed Monthly Earnings, or AIME.

How can I compare my Social Security benefits?

The other way is to answer a series of questions to prove your identity. Compare retirement benefit estimates based on your selected date or age to begin receiving benefits with retirement estimates for ages 62, Full Retirement Age (FRA), and 70. You can also input expected future income for inclusion in the estimate.

How do you find out your Social Security number?

We have put together a state and territory prefix that will tell you which state has which numbers. This is not a reliable way to determine a Social Security number because there are no laws that says you must file in the state where you were born. The numbers are similar to how the U.S. has established zip codes.