Step 1: Find your AIME
SSA adjusts your past earnings for wage growth, picks your highest 35 years, adds them up, and divides by 420 (35 years x 12 months). The result is your Average Indexed Monthly Earnings (AIME). You can see your own estimate in your my Social Security account.
Step 2: Apply the formula to get your PIA
The Primary Insurance Amount (PIA) is the benefit you receive at full retirement age. For a person who turns 62 in 2026, it is:
- 90% of the first $1,286 of AIME, plus
- 32% of AIME between $1,286 and $7,749, plus
- 15% of AIME above $7,749.
SSA rounds the result down to the next lower dime. The bend points change each year and are set by the year you turn 62, not the year you claim.
Worked examples (turning 62 in 2026)
| AIME | 90% of first $1,286 | 32% of next amount | 15% above $7,749 | PIA (rounded down) |
|---|---|---|---|---|
| $2,500 | $1,157.40 | $388.48 | $0 | $1,545.80 |
| $5,000 | $1,157.40 | $1,188.48 | $0 | $2,345.80 |
| $9,000 | $1,157.40 | $2,068.16 | $187.65 | $3,413.20 |
Check the middle example: $5,000 less $1,286 is $3,714; 32% of that is $1,188.48; adding $1,157.40 gives $2,345.88, which rounds down to $2,345.80.
Step 3: Adjust for your claiming age
For a person with a full retirement age of 67, claiming at 62 pays 70% of the PIA and claiming at 70 pays 124%.
| If your PIA is $2,345.80 | Share | Approximate monthly benefit |
|---|---|---|
| Claim at 62 | 70% | about $1,642 |
| Claim at 67 | 100% | about $2,345 |
| Claim at 70 | 124% | about $2,908 |
Annual cost-of-living adjustments are added on top as you go, and the exact dollar amounts depend on your birth date. These are illustrations, not predictions.
Why the formula favors lower earners
Because the first slice of earnings is replaced at 90% and the highest slice at only 15%, lower-income workers receive a larger share of their earnings back than higher earners, even though higher earners receive larger dollar amounts.