Your SS benefits are not based on the last year you worked. It looks at your highest paid 35 years over your entire working career. It goes something like this: The calculation will be made over 35 years which is 420 months. First, your record is searched for 35 highest paid years. If you do have that many, then there will be some years counted as zero years. Next, the older years are indexed to sort of bring them up to todays dollars. The factors used is something like a cost-of-living adjustment, but in my humble opinion, the adjustment falls short of the actual inflation rate. However, the same index is applied to everybody be they rich or poor. For example, if you earned $100 30 years ago, the adjustment factor might be 4.5, so your $100 income made 30 years ago would be adjusted to 4.5 x 100 or $450 in current dollars. This is done for each year using a different factor for each year. If there are zero years, these are included also. The 35 highest paid years are used or all the years if there is less than 35. All of the adjusted years are totaled and then divided by 420, the number of months in 35 years. This becomes the average monthly income figure that is used to determine your benefit. Clear as mud? I hope it is a little better than that. Go to the social security site to find this information. The indexing list should be there and it may change some for each passing year. The formula for using the average indexed monthly taxed earnings for computing the benefit should be there.

I worked for the Social Security Administration for over 30 years. Social Security does a hell of a lot of good. I know personally because Medicare pays for my kidney dialysis. If anyone is worried about waste and fraud, you can report it by calling 1 800 772 1213 or going online on www SSA gov and look for the "report fraud" button, leading to the Office of the Inspector General. Examples of fraud would be someone buying or selling Social Security cards, working while disabled (a guy who collects Disability who can cut his lawn and play golf doesn't count), not reporting a death and cashing that person's Social Security checks afterwards, and receiving mothers/father checks for a child under 18 who doesn't have custody are examples. And don't blame Seniors or Social Security employees for the cheaters.

chisue, FICA tax was designed to pay for social security benefits and it's been overcharging for that purpose since it started. Also, remember that self employed people (as I was) pay double the amount, currently 15.2%. It's a heavy tax and more isn't needed. alisande, economically it's a free country. There's a (maybe inadequate) safety net for those who falter or fare less well than others, but isn't each individual alone responsible for their lot in life and to take care of themselves and any others they support? I won't go along with any Robin Hood sentiment, those who obey the law and work hard to do well are entitled to their rewards. Those who don't strive and try anything possible to improve their own financial adequacy or well-being will do poorly and are entitled to those consequences too. There should be far more programs to help people redirect their lives and learn market-demanded job skills but beyond that, hmmm.

Oakley, same thing happened to me. I was told I could walk in, so I did and signed in, Waited a long time until my name was called then the woman at the desk said I didn’t have an appointment so she couldn’t help me. I said but I’m sitting right here and it won’t take long. Nope, no appointment, no help. Then I made an appointment at a different office where the woman was very helpful although since I was applying for my ex’s benefit I needed a divorce certificate so I had to trot to the courthouse and get that. The woman at SS told me where to go and it went smoothly. What a rigamarole! Should be easier. By the way, I collected half of my ex’s benefit until I turned 70.5 and now my monthly payment is much more than if I had begun to collect mine at 65. Something to consider if you can.