Here's How the Social Security Benefit Calculation Is Changing Next Year

Christy Bieber, The Motley Fool
·3-min read
Here's How the Social Security Benefit Calculation Is Changing Next Year

First things first: The actual formula used to determine your standard benefit (called your primary insurance amount) always stays the same. The Social Security Administration adjusts your wages for inflation, figures out your average monthly wage during the 35 years your inflation-adjusted wages are highest, and provides you with benefits equaling a percentage of that average (which is called your AIME, or averaged indexed monthly earnings).