What's Happening
2 hours ago

Mark Zuckerberg Follows Elon Musk's Footsteps As Meta Reportedly Plans Major Investment Into AI-Powered Humanoid Robots

benzingabenzinga.com
3 hours ago

Do You Know How Long $1 Million Will Last If You Retire At 65? Here's A Hint – Longer Than You're Led To Think!

benzingabenzinga.com
3 hours ago

IRS Reportedly Gears Up To Lay Off Thousands Of Workers Elon Musk's DOGE Looks To Shrink The Tax Agency

benzingabenzinga.com
4 hours ago

TRADEPULSE POWER INFLOW ALERT: PALO ALTO NETWORKS INC. (PANW) MOVES UP OVER 5% AT ITS HIGH AFTER TRADEPULSE ALERT

benzingabenzinga.com
4 hours ago

Jeff Bezos-Backed Anthropic Fights US Proposal Blocking Google From Investing In AI Startups, Says It Would Benefit Rivals OpenAI, Mark Zuckerberg's M...

benzingabenzinga.com
5 hours ago

Trump Administration 'Unlikely' To Support TSMC's Control Of Intel's US Chip Factories: Report

benzingabenzinga.com
6 hours ago

Trump's 'Liquid Gold' Plan: Can He Really Make America Rich Again, or Do Oil Giants Hold the Real Power?

benzingabenzinga.com
7 hours ago

Elon Musk's Government Gig Has No Salary, No Job Title, And Plenty of Power

benzingabenzinga.com
8 hours ago

Why Altcoins Were Winning This Week

foolfool.com
8 hours ago

Russell Vought Orders Pause On All CFPB Activity, Critics Say This Gives Corporations 'The Green Light To Scam Families'

benzingabenzinga.com
8 hours ago

Prediction: Zillow Will Beat the Market. Here's Why.

foolfool.com
8 hours ago

$1000 Invested In Super Micro Computer 15 Years Ago Would Be Worth This Much Today

benzingabenzinga.com
8 hours ago

'We're Going To Find Billions' – Trump Targets Pentagon For Deep Spending Cuts

benzingabenzinga.com
8 hours ago

Here's How Much You Would Have Made Owning Meta Platforms Stock In The Last 10 Years

benzingabenzinga.com
8 hours ago

If You Invested $1000 In This Stock 15 Years Ago, You Would Have This Much Today

benzingabenzinga.com
8 hours ago

Why Siemens Stock Crept Higher on Friday

foolfool.com
9 hours ago

Here's How Much You Would Have Made Owning Regeneron Pharmaceuticals Stock In The Last 15 Years

benzingabenzinga.com
9 hours ago

This Magnificent Artificial Intelligence (AI) Stock Delivered Stellar Gains in 2024. It Can Jump Another 60%

foolfool.com
9 hours ago

Here's How Much You Would Have Made Owning American Tower Stock In The Last 20 Years

benzingabenzinga.com
9 hours ago

Why Federal Realty Investment Trust Stock Just Tanked by 6%

foolfool.com

3 Social Security Moves to Make in Early 2025

A lot of us start off the new year eager to tackle different financial resolutions — paying down debt, increasing savings, and kicking expensive habits. But the start of a new year is also a great time to focus on Social Security.

Now you may be thinking, “But wait a minute — I’m nowhere close to being ready to retire. Why do I need to even think about Social Security, much less spend time focusing on it?”

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. See the 10 stocks »

But the reality is that some of the Social Security moves you make during your working years could set you up for higher monthly benefits during your retirement years. So with that in mind, here are a few key moves worth tackling before January comes to an end.

Social Security cards.

Image source: Getty Images.

1. Make sure your earnings record is accurate

It’s a bad thing for the Social Security Administration (SSA) to have missing income for you on file. That’s because the benefits you’re able to collect in retirement are calculated based on your personal earnings record.

If that record is missing income, guess what that means? A potentially lower monthly benefit for life.

That’s why it’s so important to review your earnings statement from the SSA each year. And there’s an easy way to get it. Just create an account on SSA.gov and access an electronic copy (though if you’re 60 or older, you should get a physical copy of that statement in the mail each year). If you see that your earnings statement doesn’t fully capture all of the income you’ve earned, you’ll have an opportunity to contact the SSA so they can investigate.

2. Find out your full retirement age — and what benefit you might get at that point

Full retirement age is when you’re able to collect your full monthly Social Security benefit without a reduction, and it depends on your year of birth. To save you a bit of trouble, if you were born in 1960 or later, full retirement age is 67.

What does that mean for your monthly retirement income? That’s where the earnings statement we just talked about comes in. Your earnings statement won’t just list your wages — it should also include an estimate of your monthly Social Security benefit at full retirement age.

Now the closer you are to that point, the more accurate that estimate is likely to be. But here’s why it’s an important piece of information to have.

Let’s say retirement is still a good number of years away, but you’ve been saving for it pretty minimally thinking you could fall back on a generous monthly payday from Social Security. Well, if you check your earnings statement and see that your monthly benefit at full retirement age isn’t so spectacular, you’ll be motivated to boost your IRA or 401(k) plan contributions. And the sooner you realize that, the better.

3. Come up with a strategy to boost your income

A higher income could work wonders for your near-term finances. But it could also lead to a larger monthly benefit from Social Security down the line.

Before the month is out, set some income goals for 2025 and figure out a path to get there. You may decide to interview for a new job, or learn certain new skills so you’re eligible for a promotion at your current one. Or, you may decide to hop aboard the side hustle bandwagon and boost your income that way.

And in case you’re wondering, side hustle earnings absolutely count toward Social Security — that is, as long as the IRS knows about them. But since not reporting income could get you into big trouble, it pays to come clean about the money you’re making on the side.

You may have a lot on your plate as you navigate your way through the start of 2025. But it pays to tackle these Social Security moves sooner rather than later so you’re able to make savvy decisions that could have a positive impact on your retirement.

The $22,924 Social Security bonus most retirees completely overlook

If you’re like most Americans, you’re a few years (or more) behind on your retirement savings. But a handful of little-known “Social Security secrets” could help ensure a boost in your retirement income. For example: one easy trick could pay you as much as $22,924 more… each year! Once you learn how to maximize your Social Security benefits, we think you could retire confidently with the peace of mind we’re all after. Simply click here to discover how to learn more about these strategies.

View the “Social Security secrets” »

The Motley Fool has a disclosure policy.

Related Posts

Social Security is an essential piece to most American’s retirement plans. Without their monthly benefits, some 16.3 million seniors U.S, would be living below the

The average retirement age in the U.S. was 62 in 2023, but that number’s been slowly ticking up over time. Rising life expectancies and rising

While the stock market is still thriving, some investors may be feeling wary about the future. Spiking inflation could cause the Federal Reserve to shift

There are plenty of ways to become a millionaire, like starting a successful business, being a professional athlete, or becoming a movie star. For most