Will Social Security retirement benefit projections increase after adding 2024 higher salary to earnings record?

Yes, your projected benefit will likely increase once your 2024 earnings are recorded. Social Security calculates your benefit based on your highest 35 years of indexed earnings, so if 2024 becomes one of those top 35 years (which sounds likely with a 22% increase), your overall benefit calculation will improve. The SSA typically updates your earnings record annually after employers report W-2 information, usually by late summer/early fall of the following year.

congrats on the raise! i had something similar happen last year and it definitely changed my SS projection when it updated. took forever tho, like 8 months after the year ended before the new number showed up on mySocialSecurity

To answer your follow-up question: The SSA typically provides three different benefit estimates on your Social Security Statement. The first assumes you continue working at your current salary until your retirement age. The second estimates your benefit if you stop working now and wait until full retirement age to collect. The third shows your disability benefit if you became disabled right now. If you're looking at the estimate that assumes continued work, it's using your current reported earnings as a baseline for projections. So once your 2024 higher salary is recorded, that new higher amount will become the baseline for future projections, potentially increasing your estimated benefit.

When I tried checking my record last week the SSA website was down AGAIN!!! Been trying to see my earnings for THREE MONTHS and keep getting errors or maintenance messages. How is anyone supposed to plan for retirement when you can't even SEE your benefits??? This is ridiculous!

my brother works for ssa and says they only update earnings once a year usually around september for the previous year. he also said higher earnings in later years can definitely increase your benefit amount especially if they replace a zero or low earning year in your top 35.

Your benefit will definitely change, but it's important to understand exactly how Social Security calculates your Primary Insurance Amount (PIA). They take your highest 35 years of earnings, index them for inflation, then apply a formula that gives you diminishing returns on higher earnings. If you're earning substantially more than in previous years, you'll see an increase in your projected benefit once those earnings are recorded. However, the increase won't be proportional to your salary increase due to the progressive nature of the benefit formula. For example, in 2025, the formula applies: - 90% of the first $1,358 of your Average Indexed Monthly Earnings (AIME) - 32% of your AIME between $1,358 and $8,186 - 15% of your AIME above $8,186 So a 22% salary increase might only translate to a 5-10% benefit increase, depending on your overall earnings history.

dont 4get that even tho your SS benefit might go up your taxs are higher too!! i got a raise last yr and was shocked how much more they took out for FICA 😫

Something else to consider - have you checked if this salary increase might put you above the maximum taxable earnings limit? For 2024, that's $168,600. Earnings above that don't get taxed for Social Security, but they also don't count toward your benefit calculation. Just something to be aware of if your new salary is in that range.

Since you mentioned you're 58, you might want to create a my Social Security account if you haven't already and download your current earnings record. Compare it to your W-2s to ensure everything is accurate. Errors in your earnings record can significantly impact your future benefit, and they're much easier to correct if caught early. The SSA generally only corrects earnings from the past 3 years, 3 months, and 15 days without requiring additional documentation.

My brother retired last year and they miscalculated his benefits by over $400/month!!! He had to fight for 6 months to get it fixed. ALWAYS check their math because they make mistakes ALL THE TIME. Don't just trust what they tell you.

my neighbor worked for the post office and had the same question when she got promoted. she said her benefit estimate went up about $200/month after her higher salary was recorded but it took almost a year to show up in the system. might be different for you tho.

One more thing to consider: If you're within a few years of retirement, you might want to check whether your 2024 earnings will replace one of your 35 highest years. If you've consistently earned a good income throughout your career, a single year's increase may have less impact than if you have some lower-earning or zero years in your calculation. You can see your year-by-year earnings history in your my Social Security account to get a better idea of how significant this increase might be to your overall calculation.