Six Things Every American Should Know About Social Security And Retirement
Earlier this week, Marketwatch featured a retirement quiz, “Are you as clueless as the rest of America when it comes to your retirement?” with six questions and the shock claim that only 2% of Americans passed the quiz (that is, got at least four of six correct). I looked at the quiz and wasn’t much impressed with it (more comments on it at the end of this article), and thought to myself, “self, you could do better.” So here, with a focus on Social Security, are six key things to understand.
Social Security’s average benefit is just that, an average.
How much can you count on from Social Security? It’s common to read that Social Security will replace about 40% of your pay, on average (e.g., here, in a February Forbes article) but it’s important to understand that, due to Social Security’s progressive benefit formula, the more you earn, the lower the percent that Social Security benefit checks cover.
Read More: Forbes
