Social Security gives you:
- Guaranteed lifetime income
- Benefits that are adjusted for inflation
- Survivor benefits
- Preferential tax treatment compared with ordinary income
When can you file?
You can start getting Social Security as early as 62 (with a potential reduction in benefits by 30%).1 When you hit full retirement age (FRA) you can get Social Security without a penalty. The age varies based on the year and month you were born.
How is Social Security calculated?
It’s based on your lifetime Social Security earnings & adjusted for inflation. The basic formula is the total of your highest 35 years of adjusted earnings divided by 420 (the number of months in 35 years) equals your monthly average earnings. Your benefits are determined using this amount, and the maximum benefit cap. The monthly amount you receive if you file at your FRA is called the Primary Insurance amount (PIA).
Eligible for 100% of benefits
|BIRTH YEAR||FULL RETIREMENT AGE|
|1955||66 + 2 months|
|1956||66 + 4 months|
|1957||66 + 6 months|
|1958||66 + 8 months|
|1959||66 + 10 months|
More life stagesI'm just getting started | I've been saving & investing | I'm about to retire | I'm retired
 SSA.gov, based on filing between age 62 and FRA.
 Source: SS Supplement 2018. Table 6.B5, Social Security Administration, 2017 calendar year.
Neither Nationwide nor its representatives give legal or tax advice. Please consult your attorney or tax advisor for answers to your specific tax questions.