The third round of Social Security payments for July is being issued today, with the highest-income earners set to receive up to $5,108 per month. These payments are being distributed to retirees who are 70 years old and have delayed retirement.
When Does the Check Arrive?
Social Security payments are typically distributed starting on the second Wednesday of each month, with the remaining payments following in waves based on a retiree’s birth date. The third round of payments will go out today to individuals born on or after the 21st of the month.
The first round of payments was issued on July 9 to beneficiaries born on or before the 10th of the month.
The second round of payments was issued on July 16 to those born between the 11th and the 20th.
When Am I Eligible for Social Security?
Citizens become eligible for Social Security benefits at the age of 62. However, the amount you receive depends on your age when you begin to collect benefits and how much you’ve paid into the system during your working years.
How Can I Maximize My Check?
The amount you receive from Social Security depends largely on your retirement age and how much you’ve contributed throughout your working life. Here’s a look at how the retirement age impacts your monthly payment:
At 62: The youngest age for retirement, you can receive up to $2,831 per month.
At 70: The highest amount for Social Security payments can reach $5,108 per month.
Beneficiaries can get a personalized estimate of their expected monthly benefits by using the Social Security Administration’s (SSA) online calculator.
How Is Social Security Financed?
Social Security is funded by a payroll tax paid by both employers and employees. These funds are collected to provide benefits to retirees, people with disabilities, and survivors of deceased workers. However, Social Security’s future is uncertain, and payment amounts could shrink unless Congress takes action.
Analysts predict that by 2034, Social Security may not be able to fully meet its payment obligations due to the growing number of retirees and a shrinking workforce.
Overpayment Recoupment and Payment Reductions
This month, the SSA began recovering nearly $72 billion in improper payments that were made to beneficiaries who had received more than their allotted amount. Overpayments can occur when a beneficiary fails to update changes in income or when there’s an error in the SSA’s calculations.
Those who have received overpayments will see a reduction in their monthly payments starting around July 24, with payments potentially cut in half until the excess payments are fully repaid.
