How Do I Get the $16,728 Social Security Bonus?

If you’re nearing retirement or just curious about how to maximize your Social Security benefits, you may have heard about the potential $16,728 bonus. This amount can make a significant difference in your retirement income, and many people may not even realize they’re eligible for it. Here’s a breakdown of what this bonus is, who can get it, and how to qualify.

Understanding the $16,728 Bonus

The $16,728 bonus is not a straightforward payout from Social Security; rather, it refers to the additional benefits you could receive by strategically claiming your Social Security benefits. The bonus primarily stems from delaying your benefits past your full retirement age (FRA).

When you delay taking Social Security benefits, your monthly payment increases. For every year you delay after your FRA, your benefits can grow by about 8% until you reach age 70. For some individuals, this could lead to a total increase that amounts to thousands of dollars over the years, contributing to that $16,728 figure.

Who Is Eligible?

1. Individuals nearing retirement: Those who are approaching their FRA can benefit the most from delaying their Social Security claims.
2. High earners: If you’ve consistently earned a high income during your working years, delaying your claim could significantly increase your monthly benefits.
3. Survivors: If you are the survivor of a deceased spouse who had higher benefits, you may also benefit from delaying your claim to maximize the survivor benefit.

How to Qualify for the Bonus

1. Know Your Full Retirement Age: Your FRA is based on your birth year. For those born in 1960 or later, it’s 67. Knowing this will help you determine when to start claiming benefits.
2. Delay Claiming Benefits: If you can afford to wait, aim to delay claiming benefits until you reach 70. This strategy can significantly increase your monthly payout.
3. Calculate Your Benefits: Use the Social Security Administration’s online calculators or consult a financial advisor to see how delaying your benefits will impact your total lifetime payout.
4. Monitor Changes in Social Security Rules: Stay informed about any changes in Social Security policy that could affect your benefits.