This Was the Average Social Security Benefit in 1995, and Here's What It Is Now

You may be aware that Social Security benefits grow over time thanks to annual cost-of-living adjustments. But are these yearly increases enough to keep up with inflation?It's a matter of debate. For perspective, the average monthly Social Security payment back in 1995 was $720. It has since grown to $1,976 per month, a 3.4% annualized growth rate, which more or less aligns with the Department of Labor Statistics' official inflation figures for the period. In fact, it slightly outpaces overall consumer price increases over those 30 years.Whether it's 1975 or 2025, neither amount represents a great deal of money, underscoring the Social Security Administration's regularly delivered message that the benefits program isn't intended to make up the entirety of one's retirement income. The agency reports its monthly payments account for an average of 40% of the typical retiree's income.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool