Social Security is sufficient to enable a worker and spouse to maintain their pretirement standard of living.

Question

Quizplus · Accepted Answer

Social Security benefits are intended to supplement retirement income, but they are not usually enough to fully replace a worker's pre-retirement income. According to the Social Security Administration, the average retired worker in 2021 receives about $1,500 per month in Social Security benefits, which is about 39% of the average wage index for that year. Factors such as a worker's earnings history, age at retirement, and cost of living can also affect the amount of Social Security benefits they receive. Therefore, it is important for workers to also save for retirement through other means, such as 401(k) plans, individual retirement accounts (IRAs), and other investments.

Social Security Is Sufficient to Enable a Worker and Spouse