A Social Security calculator is a valuable tool that helps estimate your future Social Security benefits based on various factors. Let’s delve into how it works:

1. Input Information:

   • Date of Birth: You start by entering your date of birth (in month/day/year format).
   • Earnings: Next, you provide information about your annual earnings. The calculator assumes that these earnings are covered by Social Security. If you’re currently retired, you can enter zero.
   • Last Year of Covered Earnings: Specify the last year in which you had earnings covered by Social Security and the corresponding amount.

2. Retirement Date Option:

   • If you’ve decided upon a retirement date, enter the month and year when you plan to stop working. This is also the month for which you want benefits to begin.
   • If you enter a date before you’re eligible for benefits, the calculator assumes you want to start receiving benefits at the earliest possible age (age 62).

3. Benefit Estimates:

   • The calculator does not directly access your earnings record but makes an initial assumption about your past earnings.
   • It provides rough estimates of your retirement benefits based on the information you provide.
   • You’ll have the opportunity to review and adjust the assumed earnings if needed.

4. Benefit Amounts:

   • The calculator estimates your Social Security benefits in today’s dollars or inflated (future) dollars.
   • Keep in mind that these estimates are approximate and serve as a starting point for planning.