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Social Security was never meant to be the entirety of anyone's retirement income. Indeed, for many people, it doesn't even make up the biggest piece of their income in retirement.
The fact is, however, a handful of people are doing pretty well with their Social Security benefits, collecting this year's maximum possible monthly payment $5,108.
How can you do as well? There's a small handful of factors that determine your eventual payment, but chief among them is the amount of money you make during your working years.
The magic number -- and others
Cutting straight to the chase, the fewer than 3,000 people (of the nation's 51 million Social Security beneficiaries) now enjoying monthly payments of $5,108 earned an inflation-adjusted equivalent of a 2024 salary of $168,600. That's the maximum annual earnings taxed by Social Security, since that's the maximum amount of income for which you'll receive credit when the Social Security Administration determines your eventual benefits payment. Earning less will result in a smaller retirement benefit, but earning more won't help.
This figure is ramped up to $176,100 for this year, by the way. To this end, the table shows every year's maximum taxable income -- for Social Security purposes anyway -- going all the way back to 1984.
| Year | Social Security's Taxable Earned Income Ceiling | Year | Social Security's Taxable Earned Income Ceiling |
|---|---|---|---|
| 1984 | $37,800 | 2005 | $90,000 |
| 1985 | $39,600 | 2006 | $94,200 |
| 1986 | $42,000 | 2007 | $97,500 |
| 1987 | $43,800 | 2008 | $102,000 |
| 1988 | $45,000 | 2009 | $106,800 |
| 1989 | $48,000 | 2010 | $106,800 |
| 1990 | $51,300 | 2011 | $106,800 |
| 1991 | $53,400 | 2012 | $110,100 |
| 1992 | $55,500 | 2013 | $113,700 |
| 1993 | $57,600 | 2014 | $117,000 |
| 1994 | $60,600 | 2015 | $118,500 |
| 1995 | $61,200 | 2016 | $118,500 |
| 1996 | $62,700 | 2017 | $127,200 |
| 1997 | $65,400 | 2018 | $128,400 |
| 1998 | $68,400 | 2019 | $132,900 |
| 1999 | $72,600 | 2020 | $137,700 |
| 2000 | $76,200 | 2021 | $142,800 |
| 2001 | $80,400 | 2022 | $147,000 |
| 2002 | $84,900 | 2023 | $160,200 |
| 2003 | $87,000 | 2024 | $168,600 |
| 2004 | $87,900 | 2025 | $176,100 |
Data source: U.S. Social Security Administration
This number, of course, is only one piece of the puzzle. You must also reach or exceed the salary thresholds listed in the table for a minimum number of years -- 35, to be specific.
That doesn't mean you must do so for 35 consecutive years, to be clear, nor does it mean you necessarily need to begin your retirement benefits immediately after you complete your 35th full year of these earnings figures. You can wait to claim benefits until well after your final year of work.