Your Social Security retirement benefit depends on how much money you earned throughout your lifetime, up to the annual Social Security taxable maximum each year, as well as the age at which you start collecting. Here’s a breakdown of how the Social Security Administration calculates your monthly benefit, as well as a calculator that can estimate yours.
The first piece of the puzzle that determines how much Social Security you’ll get is known as your primary insurance amount, or PIA. This is your monthly benefit if you decide to claim Social Security at your full retirement age.