Turning 60 soon or already retired? Then you probably know how important Social Security benefits are in the U.S. retirement system. Almost all American retirees collect these benefits — but for many, they’re not nearly enough to live on.
Whether you’re curious, concerned, or just doing a financial check-in, it’s helpful to know how your benefit compares to the national average. Let’s break it down in a simple way.
What Is the Average Social Security Benefit by Age?
Social Security payments vary based on when you start collecting and how much you earned during your working years. Here’s a quick look at the average monthly benefit amounts as of June:
| Age | Average Benefit |
|---|---|
| 62 | $1,377 |
| 63 | $1,392 |
| 64 | $1,447 |
| 65 | $1,613 |
| 66 | $1,809 |
| 67 | $1,963 |
| 68 | $2,004 |
| 69 | $2,052 |
| 70 | $2,188 |
As the table shows, the later you start claiming, the more you receive. That’s because delaying your benefits helps you avoid early filing penalties and earns you delayed retirement credits, increasing your monthly payout.
Can You Live on Social Security Alone?
To be honest — no, not really.
Even the highest average benefit (at age 70) is just over $2,100 per month, which adds up to around $26,000 per year. That’s below what many people need to live comfortably, especially with rising costs of housing, healthcare, and food.
The Social Security system was never designed to be your only source of income. It was built to replace around 40% of your pre-retirement income. But most retirees need 80% to 90% of their old income to maintain their lifestyle. That’s why Social Security alone won’t be enough for a secure retirement.
Why Are Benefits So Low for Many Retirees?
There are a few reasons:
Social Security is based on your top 35 earning years. If you had years of low income or unpaid work, that pulls your average down.
The benefit formula is progressive. It gives a higher percentage of income back to lower earners, but the total amount remains low.
If you start claiming early (as many do at 62), your benefits are permanently reduced.
Even if you earned a high income over your career, Social Security is capped and won’t replace more than a certain portion of your pay.
How to Boost Your Retirement Income
Since Social Security will only take you part of the way, it’s essential to have other sources of income in retirement. Here are some simple steps to help build that:
Contribute to your 401(k): Many employers offer matching contributions — don’t leave that free money on the table.
Open an IRA or Roth IRA: These accounts grow over time and can be a tax-efficient way to save.
Invest regularly: Even small monthly investments can grow significantly over the years.
Delay claiming benefits: If you can wait until 67 or even 70, your monthly check could be much higher.
Avoid costly retirement mistakes: Failing to plan or underestimating expenses can hurt your long-term financial health.
A Hidden $23,760 Boost?
Most people don’t realize this, but some Social Security strategies could give you a major income boost. For example, delaying your claim, understanding spousal benefits, or avoiding early retirement penalties can significantly increase your payout — in some cases, up to $23,760 more per year.
