Primary insurance amount calculator
The benefit formula is progressive: it replaces a high share of low earnings and a low share of high ones. Two dollar hinges — the bend points — are where the replacement rate steps down, and they are fixed for life at the year you turn 62.
General information, not financial, tax, legal or benefits advice. Figures show what published rates and formulas produce for the amounts you enter; your actual payment depends on your earnings record, claim age, withholding and Medicare status. COLA Ledger is not affiliated with or endorsed by the Social Security Administration, the Bureau of Labor Statistics, CMS or any U.S. government agency. Confirm your figures with SSA or your my Social Security account.
- Primary insurance amount
- $2,665.80
- Bend points used
- $1,286 / $7,749fixed at age 62 in 2026
| Portion | Amount | Rate | Contribution |
|---|---|---|---|
| First $1,286 | $1,286.00 | 90% | $1,157.40 |
| $1,286 to $7,749 | $4,714.00 | 32% | $1,508.48 |
| Above $7,749 | $0.00 | 15% | $0.00 |
| PIA, floored to the next lower $0.10 | $2,665.80 |
2026 first bend point
$1,286
90% of average indexed monthly earnings up to here, 32% from here to $7,749, and 15% of anything above that.
The formula
| Portion of average indexed monthly earnings | Replacement rate | Maximum from this band |
|---|---|---|
| First $1,286 | 90% | $1,157.40 |
| $1,286 to $7,749 | 32% | $2,068.16 |
| Above $7,749 | 15% | no ceiling in the formula |
Worked at four earnings levels
| Average indexed monthly earnings | Primary insurance amount | Replacement rate |
|---|---|---|
| $3,000 | $1,705.80 | 56.9% |
| $6,000 | $2,665.80 | 44.4% |
| $9,000 | $3,413.20 | 37.9% |
| $12,000 | $3,863.20 | 32.2% |
The replacement rate falls steadily as earnings rise — from 56.9% at $3,000 to 32.2% at $12,000. That is the formula working as designed, not a quirk.
Fixed at 62, and this is the part people get wrong
A worker who turns 62 in 2026 uses the $1,286 and $7,749 bend points forever. Someone who turned 62 in 2025 uses $1,226 and $7,391 forever. Waiting until 70 to claim does not get you the newer bend points — it gets you delayed retirement credits, which are a different mechanism entirely. After 62, only the cost-of-living adjustment moves the benefit.
Bend points by year of eligibility
| Turned 62 in | First bend point | Second bend point |
|---|---|---|
| 2026 | $1,286 | $7,749 |
| 2025 | $1,226 | $7,391 |
| 2024 | $1,174 | $7,078 |
| 2023 | $1,115 | $6,721 |
| 2022 | $1,024 | $6,172 |
| 2021 | $996 | $6,002 |
| 2020 | $960 | $5,785 |
| 2019 | $926 | $5,583 |
| 2018 | $895 | $5,397 |
| 2017 | $885 | $5,336 |
| 2016 | $856 | $5,157 |
| 2015 | $826 | $4,980 |
The full series back to 1979. The bend points move with the national average wage index, not with the cost-of-living adjustment — which is why they can rise in a year when benefits do not.
Common questions
What is AIME?
Average indexed monthly earnings: your 35 highest years of earnings, each indexed to the national average wage level of the year you turned 60, then averaged down to a monthly figure. Your SSA statement shows it.
Do the bend points change after I turn 62?
No, and this is the most misunderstood thing about the formula. The bend points are set by the year you turn 62 and then fixed for life — even if you claim at 70. After 62 the only thing that raises the benefit is the annual cost-of-living adjustment, most recently 2.8%.
Is the PIA what I actually receive?
Only if you claim exactly at full retirement age. Claiming earlier reduces it permanently; claiming later adds delayed retirement credits to 70. Then every cost-of-living adjustment since the year you turned 62 is applied on top, and the Medicare premium comes off the result.
Why does the PIA round to ten cents rather than a dollar?
Because it is a different rounding step from the monthly benefit. The primary insurance amount floors to the next lower ten cents; the monthly payment floors to the whole dollar. Collapsing the two steps produces answers that are off by up to a dollar.
Related
- Bend pointsevery year
- Family maximumthe other hinges
- Full retirement ageby birth year
- Maximum benefit$4,152
- COLA calculatorwhat happens next
- Average wage indexwhat indexes it
Sources and freshness
- SSA OACT — Benefit formula bend points — verified 10 August 2026
- SSA Office of the Chief Actuary — Cost-of-Living Adjustments — verified 10 August 2026
- SSA — 2026 COLA fact sheet — verified 10 August 2026
Figures effective eligibility 2026. Page figures last verified against the sources above on 10 August 2026. Corrections: the correction log · support@inventum.com.au