The figures are made in such a way for those workers who presumably had steady earnings at their maximum taxable level since 22 years old. For the next year, the maximum taxable income is $160,200, which is a number that’s usually bigger by the year.

Your benefit solely depends on how much you earned, up to some maximum every year. Taking your benefit later in life might help increase it. Workers might claim a benefit way earlier, at 62 years old, for example, if they have contributed a minimum of 10 years of work, before reaching what’s known as full retirement age, which could range from 65 to 67, depending on the state they were born.

If you decide to claim your benefits earlier, your check will be way less than it could have been. But if you wait until 70 years old to claim your benefits, you will get more every month. As a matter of fact, the appropriate age to claim Social Security is one of the most debated topics.

If you want to get these benefits, you have to pay Social Security taxes of 6.2 percent of your income, up to the maximum taxable income. Your employees also pay another 6.2 percent of the salary you receive into that fund, but if you are self-employed, then you need to foot that portion of any tax bill, too.

If you found this article useful, you might also want to try: 10 Types Of Retirement Income Tax You Need To Know About