Social Security uncertainty and policy changes are driving more people to submit
With the huge increase in social security applications, retirees are facing financial decisions affected by law and economic concerns in today’s climate.
Scripps News
Each month, the Social Security Agency (SSA) releases a report called monthly statistics snapshots. This includes information on the number of Social Security beneficiaries and how much the average person will receive.
In the most recent reported month (May), the average Social Security benefits paid to retired workers reached an all-time high of $2,002.39. This was the first time the average has exceeded $2,000 a month, a massive increase of $1,917, the profits of the average retired worker a year ago.
Here are some important things to unpack. For one thing, benefits for retired workers are just one type of Social Security benefits. Of the 69.6 million Social Security beneficiaries in the United States, nearly 17 million have acquired other types of benefits, including survivor benefits, spousal benefits, and disability benefits.
Furthermore, this is a 4.5% increase in average profits since the end of 2024, significantly exceeding the 2.5% cost-of-living adjustment (COLA) established in 2025.
Finally, keep in mind that this is merely an average. Many Social Security recipients receive significantly more or less than average. So let’s take a closer look at all this.
Currently average social security benefits
As mentioned above, benefits for retired workers are merely part of Social Security. There are several other types of benefits, all of which have their own averages. The latest data for several other common perk categories is as follows:
Data Source: Social Security Bureau. Benefit data as of May 2025 and the number of beneficiaries rounded to the nearest 0.1 million.
Why did the average Social Security benefits increase so much?
As mentioned earlier, the average retired worker profits for May 2024 increased by 4.5% compared to the same month in 2024.
Of course, a 2.5% social security cost adjustment, or COLA, has a lot to do with it. But it does not explain all the increase in itself.
A major driver was the Social Security Equity Act, which increased the profits of millions (mainly former government officials), and its benefits were reduced by the Windfall exclusion provisions and other regulations. Many of the headlines regarding the law relate to retroactive payments in the past, but beneficiaries of this group also saw a significant increase in monthly payments. In fact, the average beneficiaries affected increased their monthly checks by $360.
How can I get above average?
Of course, that’s exactly what the average monthly benefit is $2,002. It’s average. There are significantly fewer retirees and a significantly more retirees. In fact, the best monthly Social Security benefits possible for anyone who turned 70 in 2025 is $5,108.
If you haven’t already claimed Social Security, there may be some things you can do to set yourself up for above average monthly benefits. And the first step is to know how the Social Security formula works. You can read the Social Security Benefits formula description for all details, but there are generally two main factors that affect retirement benefits.
- Record of your work – SSA adjusts the annual lifetime revenue of inflation and considers the highest earning years of 35 when calculating profits. So, especially if you’re in the most earning part of your career, or if you haven’t been working for 35 years, it’s worth working for an extra year or two if you can.
- Your claimed age – Qualified Americans can begin collecting Social Security at any time between the ages of 62 and 70, but the earlier they apply, the lower the profits. There’s no need to wait until 70. Even a few months can make meaningful differences. Please note that whenever you choose to wait you will benefit Forever This is especially important as Social Security is the only source of inflation protection income that most retirees have.
The last thought is, logging in to SSA’s web portal is a sensible idea (or create an account if it’s still weird). You can view estimates of your trajectory retirement benefits that you receive based on your actual work record. That way you will know where you are standing and whether adjusting your retirement strategy accordingly is your number one concern.
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