Your payment would be about
$2,061 a month
at full retirement age
WANDA WORKER
456 ANYWHERE AVENUE
MAINTOWN, USA 11111-1111
January 2, 2021
Your Social Security Statement
Are you thinking about retirement? Are you
ready for retirement?
We have tools that can help you!
• Estimate your future retirement benets
at socialsecurity.gov/estimator
• Apply for retirement, spouse’s,
Medicare, or disability benets
at socialsecurity.gov/applyforbenets
• And once you receive benets, manage your
benets at myaccount.socialsecurity.gov
You r Social Security Statement tells you about
how much you or your family would receive
in disability, survivor, or retirement benets. It
also includes our record of your lifetime earnings.
Check out your earnings history, and let us know
right away if you nd an error. This is important
because we base your benets on our record of
your lifetime earnings.
Social Security benets are not intended to be
your only source of income when you retire.
On average, Social Security will replace about
40 percent of your annual pre-retirement earnings.
You will need other savings, investments,
pensions, or retirement accounts to live
comfortably when you retire.
To see your Statement online anytime,
create a my Social Security account
at myaccount.socialsecurity.gov.
Social Security Administration
To view your Social Security
Statement online anytime create a
my Social Security account today!
my Social Security
myaccount. socialse curity.gov
Follow the Social Security Administration at these social media sites.
Your Estimated Benets
*Retirement You have earned enough credits to qualify for benets. At your current earnings rate, if you
continue working until…
your full retirement age (67 years), your payment would be about ........................................................$ 2,061 a month
age 70, your payment would be about ....................................................................................................$ 2,561 a month
age 62, your payment would be about ....................................................................................................$ 1,426 a month
*Disability You have earned enough credits to qualify for benets. If you became disabled right now,
your payment would be about .................................................................................................................$ 2,027 a month
*Family If you get retirement or disability benets, your spouse and children also may qualify for benets.
*Survivors You have earned enough credits for your family to receive survivors benets. If you die this
year, certain members of your family may qualify for the following benets:
You r ch ild ................................................................................................................................................$ 1,520 a month
Your spouse who is caring for your child ...............................................................................................$ 1,520 a month
Your spouse, if benets start at full retirement age................................................................................$ 2,027 a month
Total family benets cannot be more than .............................................................................................$ 3,700 a month
Your spouse or minor child may be eligible for a special one-time death benet of $255.
Medicare You have enough credits to qualify for Medicare at age 65. Even if you do not retire at age 65, be
sure to contact Social Security three months before your 65th birthday to enroll in Medicare.
* Your estimated benets are based on current law. Congress has made changes to the law in the
past and can do so at any time. The law governing benet amounts may change because, by 2035,
the payroll taxes collected will be enough to pay only about 80 percent of scheduled benets.
We based your benet estimates on these facts:
Your date of birth (please verify your name on page 1 and this date of birth) ...................................... April 5, 1961
Your estimated taxable earnings per year after 2018 ............................................................................. $52,769
Your Social Security number (only the last four digits are shown to help prevent identity theft) ......... XXX-XX-1234
How Your Benets Are Estimated
To qualify for benets, you earn “credits” through your work —
up to four each year. This year, for example, you earn one credit
for each $1,470 of wages or self-employment income. When
you’ve earned $5,880, you’ve earned your four credits for the year.
Most people need 40 credits, earned over their working lifetime,
to receive retirement benets. For disability and survivors benets,
young people need fewer credits to be eligible.
We checked your records to see whether you have earned
enough credits to qualify for benets. If you haven’t earned
enough yet to qualify for any type of benet, we can’t give you
a benet estimate now. If you continue to work, we’ll give you
an estimate when you do qualify.
What we assumed — If you have enough work credits, we
estimated your benet amounts using your average earnings
over your working lifetime. For 2021 and later (up to retirement
age), we assumed you’ll continue to work and make about the
same as you did in 2019 or 2020. We also included credits we
assumed you earned last year and this year.
Generally, the older you are and the closer you are to
retirement, the more accurate the retirement estimates will be
because they are based on a longer work history with fewer
uncertainties such as earnings uctuations and future law
changes. We encourage you to use our online Retirement
Estimator at www.socialsecurity.gov/estimator to obtain
immediate and personalized benet estimates.
We can’t provide your actual benet amount until you apply
for benets. And that amount may dier from the estimates
stated above because:
(1) Your earnings may increase or decrease in the future.
(2) After you start receiving benets, they will be adjusted
for cost-of-living increases.
(3) Your estimated benets are based on current law. The law
governing benet amounts may change.
(4) Your benet amount may be aected by military service,
railroad employment or pensions earned through
work on which you did not pay Social Security tax.
Visit www.socialsecurity.gov to learn more.
Windfall Elimination Provision (WEP) — In the future,
if you receive a pension from employment in which you do
not pay Social Security taxes, such as some federal, state
or local government work, some nonprot organizations or
foreign employment, and you also qualify for your own Social
Security retirement or disability benet, your Social Security
benet may be reduced, but not eliminated, by WEP. The
amount of the reduction, if any, depends on your earnings and
number of years in jobs in which you paid Social Security
taxes, and the year you are age 62 or become disabled. For
more information, please see Windfall Elimination Provision
(Publication No. 05-10045) at www.socialsecurity.gov/WEP.
Government Pension Oset (GPO) — If you receive a
pension based on federal, state or local government work in
which you did not pay Social Security taxes and you qualify,
now or in the future, for Social Security benets as a current or
former spouse, widow or widower, you are likely to be aected
by GPO. If GPO applies, your Social Security benet will be
reduced by an amount equal to two-thirds of your government
pension, and could be reduced to zero. Even if your benet
is reduced to zero, you will be eligible for Medicare at
age 65 on your spouse’s record. To learn more, please see
Government Pension Oset (Publication No. 05-10007) at
www.socialsecurity.gov/GPO.
2
[C]
Your Earnings Record
Years You
Worked
Your Taxed
Social Security
Earnings
Your Taxed
Medicare
Earnings
1977 226 226
1978 611 611
1979 1,208 1,208
1980 2,258 2,258
1981 3,361 3,361
1982 4,293 4,293
1983 5,473 5,473
1984 7,287 7,287
1985 9,018 9,018
1986 10,453 10,453
1987 12,223 12,223
1988 13,894 13,894
1989 15,441 15,441
1990 17,064 17,064
1991 18,522 18,522
1992 20,238 20,238
1993 21,076 21,076
1994 22,237 22,237
1995 23,674 23,674
1996 25,364 25,364
1997 27,321 27,321
1998 29,204 29,204
1999 31,254 31,254
2000 33,373 33,373
2001 34,514 34,514
Years You
Worked
Your Taxed
Social Security
Earnings
Your Taxed
Medicare
Earnings
2002 35,205 35,205
2003 36,391 36,391
2004 38,364 38,364
2005 40,041 40,041
2006 42,116 42,116
2007 44,208 44,208
2008 45,296 45,296
2009 44,665 44,665
2010 45,727 45,727
2011 47,176 47,176
2012 48,560 48,560
2013 48,911 48,911
2014 50,277 50,277
2015 51,550 51,550
2016 51,462 51,462
2017 51,990 51,990
2018 52,445 52,445
2019
52,769 52,769
2020 Not yet recorded
Total Social Security and Medicare taxes paid over your working career through the last year reported on the chart above:
Estimated taxes paid for Social Security:
You paid: $73,110
Your employers paid: $75,047
Estimated taxes paid for Medicare:
You paid: $17,585
Your employers paid: $17,585
Note: Currently, you and your employer each pay a 6.2 percent Social Security tax on up to $142,800 of your earnings and a 1.45*
percent Medicare tax on all your earnings. If you are self-employed, you pay the combined employee and employer amount, which is a
12.4 percent Social Security tax on up to $142,800 of your net earnings and a 2.9* percent Medicare tax on your entire net earnings.
*If you have earned income of more than $200,000 ($250,000 for married couples filing jointly), you must pay 0.9 percent more in Medicare taxes.
Help Us Keep Your Earnings Record Accurate
You, your employer and Social Security share responsibility
for the accuracy of your earnings record. Since you began
working, we recorded your reported earnings under your name
and Social Security number. We have updated your record each
time your employer (or you, if you’re self-employed) reported
your earnings.
Remember, it’s your earnings, not the amount of taxes you
paid or the number of credits you’ve earned, that determine your
benet amount. When we gure that amount, we base it on your
average earnings over your lifetime. If our records are wrong,
you may not receive all the benets to which you’re entitled.
Review this chart carefully using your own records to make
sure our information is correct and that we’ve recorded each
year you worked. You’re the only person who can look at the
earnings chart and know whether it is complete and correct.
Some or all of your earnings from last year may not be
shown on your Statement. It could be that we still were
processing last year’s earnings reports when your Statement
was prepared. Your complete earnings for last year will be
shown on next year’s Statement. Note: If you worked for more
than one employer during any year, or if you had both earnings
and self-employment income, we combined your earnings for
the year.
There’s a limit on the amount of earnings on which you pay
Social Security taxes each year. The limit increases yearly.
Earnings above the limit will not appear on your earnings
chart as Social Security earnings. (For Medicare taxes, the
maximum earnings amount began rising in 1991. Since 1994,
all of your earnings are taxed for Medicare.)
Call us right away at 1-800-772-1213 (7 a.m.–7 p.m. your
local time) if any earnings for years before last year are shown
incorrectly. Please have your W-2 or tax return for those years
available. (If you live outside the U.S., follow the directions at
the bottom of page 4.)
3
Some Facts About Social Security
About Social Security and Medicare…
Social Security pays retirement, disability, family and survivors
benefits. Medicare, a separate program run by the Centers
for Medicare & Medicaid Services, helps pay for inpatient
hospital care, nursing care, doctors’ fees, drugs, and other
medical services and supplies to people age 65 and older, as
well as to people who have been receiving Social Security
disability benefits for two years or more. Medicare does not
pay for long-term care, so you may want to consider options
for private insurance. Your Social Security covered earnings
qualify you for both programs. For more information about
Medicare, visit www.medicare.gov or call 1-800-633-4227
(TTY 1-877-486-2048 if you are deaf or hard of hearing).
Retirement — If you were born before 1938, your full
retirement age is 65. Because of a 1983 change in the law, the
full retirement age will increase gradually to 67 for people born
in 1960 and later.
Some people retire before their full retirement age. You
can retire as early as 62 and take benefits at a reduced rate.
If you work after your full retirement age, you can receive
higher benefits because of additional earnings and credits for
delayed retirement.
Disability — If you become disabled before full retirement age,
you can receive disability benefits after six months if
you have:
— enough credits from earnings (depending on your age, you
must have earned six to 20 of your credits in the three to 10
years before you became disabled); and
— a physical or mental impairment that’s expected to prevent
you from doing “substantial” work for a year or more or
result in death.
If you are filing for disability benefits, please let us know
if you are on active military duty or are a recently discharged
veteran, so that we can handle your claim more quickly.
Family — If you’re eligible for disability or retirement benefits,
your current or divorced spouse, minor children or adult
children disabled before age 22 also may receive benefits. Each
may qualify for up to about 50 percent of your benefit amount.
Survivors — When you die, certain members of your family
may be eligible for benefits:
— your spouse age 60 or older (50 or older if disabled, or any
age if caring for your children younger than age 16); and
— your children if unmarried and younger than age 18, still
in school and younger than 19 years old, or adult children
disabled before age 22.
If you are divorced, your ex-spouse could be eligible for a
widow’s or widower’s benefit on your record when you die.
Extra Help with Medicare — If you know someone who
is on Medicare and has limited resources and income, Extra
Help is available for prescription drug costs. The Extra Help
can help pay the monthly premiums, annual deductibles
and prescription co-payments. To learn more or to apply,
visit www.socialsecurity.gov or call 1-800-772-1213
(TTY 1-800-325-0778).
Receive benefits and still work...
You can work and still get retirement or survivors benefits. If
you’re younger than your full retirement age, there are limits on
how much you can earn without affecting your benefit amount.
When you apply for benefits, we’ll tell you what the limits
are and whether work would affect your monthly benefits.
When you reach full retirement age, the earnings limits no
longer apply.
Before you decide to retire...
Carefully consider the advantages and disadvantages of early
retirement. If you choose to receive benefits before you reach
full retirement age, your monthly benefits will be reduced.
To help you decide the best time to retire, we offer a free
publication, When To Start Receiving Retirement Benefits
(Publication No. 05-10147), that identifies the many factors you
should consider before applying. Most people can receive an
estimate of their benefit based on their actual Social Security
earnings record by going to www.socialsecurity.gov/estimator.
You also can calculate future retirement benefits by using the
Social Security Benefit Calculators at www.socialsecurity.gov.
Other helpful free publications include:
— Retirement Benefits (No. 05-10035)
— Understanding The Benefits (No. 05-10024)
— Your Retirement Benefit: How It Is Figured (No. 05-10070)
— Windfall Elimination Provision (No. 05-10045)
— Government Pension Offset (No. 05-10007)
— Identity Theft And Your Social Security Number (No. 05-10064)
We also have other leaflets and fact sheets with information
about specific topics such as military service, self-employment
or foreign employment. You can request Social Security
publications at our website, www.socialsecurity.gov, or
by calling us at 1-800-772-1213. Our website has a list of
frequently asked questions that may answer questions you have.
We have easy-to-use online applications for benefits that can
save you a telephone call or a trip to a field office.
You also may qualify for government benefits outside of
Social Security. For more information on these benefits,
visit www.benefits.gov.
If you need more information — Visit www.socialsecurity.gov on the Internet, contact any Social Security office, call
1-800-772-1213 or write to Social Security Administration, Office of Earnings Operations, P.O. Box 33026, Baltimore, MD
21290-3026. If you’re deaf or hard of hearing, call TTY 1-800-325-0778. If you have questions about your personal information,
you must provide your complete Social Security number. If your address is incorrect on this Statement, ask the IRS to send you a
Form 8822. We don’t keep your address if you’re not receiving Social Security benefits.
Form SSA-7005-SM-SI (01/21)
4
Thinking of retiring?
www.socialsecurity.gov
Some things to consider
R
etirement can have more than
one meaning these days. It
can mean that you have applied
for Social Security retirement
benets or that you are no longer
working. Or it can mean that you
have chosen to receive Social
Security while still working, either
full or part-time. All of these
choices are available to you. Your
retirement decisions can have
very real eects on your ability to
maintain a comfortable retirement.
If you retire early, you may
not have enough income to enjoy
the years ahead of you. Likewise,
if you retire late, you’ll have a
larger income, but fewer years to
enjoy it. Everyone needs to try to
nd the right balance, based on
his or her own circumstances.
We hope the following
information will help you as
you plan for your future
retirement and consider your
retirement options.
What is the best option for you?
Everyone’s situation is dierent. That is why Social Security has created
several retirement planners to help you decide what would be best for
you and your family. Social Security has an online calculator that can
provide immediate and accurate retirement benet estimates to help you
plan for your retirement.
The online Retirement Estimator is a convenient, secure, and
quick nancial planning tool. It uses your own earnings record
information, thereby eliminating any need to manually key in years
of earnings information. The estimator also will let you create
“what if” scenarios. You can, for example, change your “stop work”
date or expected future earnings to create and compare dierent
retirement options. To use the Retirement Estimator, go to our website
at www.socialsecurity.gov/estimator.
There is one more thing you should
remember as you crunch the numbers
for your retirement. You may need
your income to be sucient for a
long time, because people are living
longer than ever before, and generally,
women tend to live longer than men.
For example:
• The typical 65-year-old today will
live to age 83;
• One in four 65-year-olds will live
to age 90; and
• One in ten 65-year-olds will live to
age 95.
Once you decide on the best age
for you to actually retire, remember
to complete your application three
months before the month in which
you want retirement benets to begin.
It’s so easy to apply
online for benets
The easiest way to apply for Social
Security retirement benets is to go
online at www.socialsecurity.gov/
applyforbenets. If you do not
have access to the Internet, you can
call 1-800-772-1213 (TTY number,
1-800-325-0778) between 7 a.m. and
7 p.m., Monday through Friday, to
apply by phone. You also can apply at
any Social Security oce. To avoid
having to wait, call rst to make
an appointment.
Avoid a Medicare Penalty
Sign Up at Age 65
Even if you don’t plan to receive
monthly benets, be sure to sign up
for Medicare three months before
turning age 65. If you don’t sign
up for Medicare Part B (medical
insurance) when you’re rst eligible,
your coverage may not start right
away and you may have to pay a
late enrollment penalty for as long
as you have it. You can apply online.
Visit www.socialsecurity.gov/
medicareonly for information and
to apply.
Receiving benets while you work
When you reach your full
retirement age, you can work
and earn as much as you want
and still receive your full Social
Security benet payment. If you
are younger than full retirement
age and if your earnings exceed
certain dollar amounts, some of
your benet payments during the
year will be withheld.
This does not mean you must try to
limit your earnings. If we withhold
some of your benets because you
continue to work, we will pay you a
higher monthly benet amount when
you reach your full retirement age.
In other words, if you would like to
work and earn more than the exempt
amount, you should know that it
will not, on average, reduce the total
value of lifetime benets you receive
from Social Security—and may
actually increase them.
Here is how this works: after
you reach full retirement age,
we will recalculate your benet
amount to give you credit for
any months in which you did
not receive some benet because
of your earnings. In addition, as
long as you continue to work, we
will check your record every year
to see whether the additional
earnings will increase your
monthly benet.
Many people can continue
to work and still receive
retirement benets. If you
want more information on
how earnings aect your
retirement benets, ask for
How Work Aects Your Benets
(Publication No. 05-10069), which
has current annual and monthly
earnings limits, and is available
on our website.
Retirement age considerations
Full retirement age
For persons born during the years
1943-1954, the full retirement age
is 66. If you were not born in this
period, you can nd your full
retirement age on page 2 of your
Social Security Statement.
Retiring early
If you’ve earned 40 credits
(credits are explained on page 2
of your Statement), you can start
receiving Social Security benets
at 62 or at any month between 62
and full retirement age. However,
your benets will be reduced
based on the number of months
you receive benets before you
reach full retirement age.
If your full retirement age is 66,
benets will be reduced:
25 percent at age 62;
20 percent at age 63;
13⅓ percent at age 64; or
6⅔
percent at age 65.
Delaying retirement
You may decide to wait beyond
your full retirement age before
choosing to receive benets. If
so, your benet will be increased
by a certain percentage for each
month you don’t receive benets
between your full retirement age
and age 70. This table shows the
rate your benets increase if you
delay retiring.
Year of birth Yearly increase rate
1941 - 1942 7.5%
1943 or later 8.0%
Rules that may aect
your survivor
If you are married and die before
your spouse, he or she may be
eligible for a benet based on your
work record. If you start benets
before your full retirement age,
we cannot pay your surviving
spouse a full benet from your
record. Also, if you wait until after
your full retirement age to begin
benets, the surviving spouse
benets based on your record will
be higher.
Need more
information?
You can nd answers to frequently
asked questions about Social
Security, learn about factors that
could aect your benets, and much
more by visiting Social Security
online at www.socialsecurity.gov.
If you do not have access to the
Internet, you can get information
about Social Security by calling
1-800-772-1213 (1-800-325-0778
for the deaf or hard of hearing) or by
visiting a local Social Security oce.
Other useful websites
www.mymoney.gov
This website contains calculators
for nancial planning and
information on money-related
matters, such as retirement planning
and starting a small business.
www.dol.gov/agencies/ebsa/
workers-and-families/
preparing-for-retirement
Have you determined how much
money you'll need in retirement?
There are many tools available to
help you, such as the Taking the
Mystery Out of Retirement
Planning Workbook available at
this link.
www.sec.gov/investor/
seniors.shtml
Are you looking for information
about the investment options
available to you as you enter
retirement? The Securities and
Exchange Commission has a
wealth of information on dierent
investment products and topics
available at this website.
www.usa.gov/retirement
This website has a variety of
retirement-related resources for
seniors including information on
Social Security, saving for
retirement, and protecting one’s
private pension benets.
Social Security Administration
SSA Publication No. 05-10054
January 2019 (Destroy prior editions)
