Elliott
Elite Member
- Joined
- Apr 23, 2002
- Professional Status
- Certified General Appraiser
- State
- Oregon
- 90% of the first $1,286 of your AIME
- 32% of any AIME between $1,286 and $7,749
- 15% of any AIME above $7,749 [1, 2, 3, 4]
The results of these three tiers are then totaled and truncated to the next lower dime to give your exact PIA. The government uses these specific "bend points" to ensure lower-wage earners receive a higher percentage replacement of their lifetime earnings."
Above is how you are credited....so essentially you get 90 cents on a dollar for the first 'monthly benefit'....then 32% (what!)....and then the the big earners only get 15 cents on the dollar, so it goes to those below.
Once that is all figured out, they figure out how much you pay for Medicare A/B (IRMA), and the more you 'make' the higher your Medicare premium. Last year if I remember right, the COLA was all taken by the increase in Medicare for the upper tiers.
It is a horrible system.
