Millions of retirees receive a monthly payment from Social Security. For many, this financial support helps cover essential needs such as housing, transportation, and food, while others view it as a means for additional spending money.

If you’re interested in comparing your Social Security payment to that of the average retiree, the Social Security Administration has provided that information.

As of July 2024, the typical retired worker received $1,919.40 from Social Security. This translates to just over $23,000 in annual benefits.

Fortunately, this average monthly benefit is expected to rise in 2025 due to the annual cost-of-living adjustment for Social Security recipients. Recent predictions suggest an increase of 2.57%, which would raise the monthly benefit from $1,919.40 to $1,968.73. However, this figure could change as the adjustment is not finalized yet.

If you’re not retired yet and find the average benefit of $1,919.40 insufficient, there are strategies to potentially increase your Social Security payouts. If you’re already retired with a smaller monthly benefit, there are also ways to optimize your budget.

Tips to boost your Social Security benefit

Your monthly Social Security benefit depends largely on your earnings over your 35 highest-paid years of work. To enhance your benefit, aim to increase your income by seeking promotions or switching to higher-paying positions. Developing new skills will help you achieve these goals, and consider taking advantage of any mentorship opportunities your employer offers.

It’s also vital to ensure that you have worked for a complete 35 years to qualify for a higher Social Security check each month. If you’re nearing retirement and haven’t reached that mark, you might want to postpone your retirement.

Additionally, delaying your Social Security filing past your full retirement age, which is 67 for individuals born in 1960 or later, can significantly increase your benefit. You could earn an 8% boost for each year you wait to claim your benefits, up until the age of 70.

Making the most of your existing Social Security benefit

If you are already retired and your Social Security payment is below $1,919.40 per month, you might find it challenging to meet your living expenses—particularly if you lack additional income. A potential solution is to explore opportunities in the gig economy. Even working a few hours each week at your convenience can provide a necessary financial boost to manage your bills more effectively.

Furthermore, you can earn money while receiving Social Security benefits. However, if you start working before reaching full retirement age, you should pay attention to the earnings limit for the current year.

Alternatively, consider relocating to an area where the cost of living is lower, allowing your Social Security benefits to stretch further. Finding a community with lower housing, grocery, and overall expenses could significantly aid in managing your monthly income.

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