Social Security annual recomputation is the SSA’s yearly review that can raise your monthly benefit if new earnings replace lower years in your 35-year record—or when withheld months and delayed credits change your calculation. If you work in retirement (or had benefits withheld before Full Retirement Age), understanding recomputation helps you capture every dollar you’ve earned.
Get Your Social Security Annual Recomputation Review
We’ll check your 35-year record, new earnings, and withheld months to confirm you’re getting the full increase owed.
Social Security annual recomputation: how it works
Each year, SSA posts your prior-year earnings and automatically re-runs your benefit formula. If your new covered earnings replace a lower (or zero) year among your highest 35 years, your Primary Insurance Amount (PIA) increases—and so does your monthly check.
- Effective date: Increases are effective January of the year after you earned the wages.
- Payment timing: Once processed later in the year, SSA pays back pay for the months owed at the higher rate.
- No action usually required: Recomputations are automatic, but you should verify your earnings record yearly.
What triggers an annual recomputation increase?
| Trigger | What SSA checks | Typical impact |
|---|---|---|
| New covered wages or SE income | Does the year enter your top 35 indexed years? | Benefit increases if a low/zero year is replaced |
| Early filing + earnings test | Months withheld before FRA | At FRA, SSA adjusts your reduction, raising your rate |
| Delayed Retirement Credits | Months you delayed after FRA | Credits applied to increase your ongoing payment |
Annual recomputation timing & notices
- W-2 employees: Employers submit wages to SSA; recomputation typically posts after records are finalized.
- Self-employed: SSA uses your filed tax return; extensions can delay the recomputation.
- Notice & back pay: SSA mails a letter when processed and pays retroactive amounts due to the January effective date.
Social Security recomputation examples
- Part-time earner: Claiming at 66, you earn $28,000 at age 67, replacing a low year from your teens. SSA recomputes and adds $22/month effective January. If processed in October, you receive a lump sum for Jan–Sep plus a higher check going forward.
- Withheld months before FRA: You filed at 63 and worked. Six months of checks were withheld by the earnings test. At FRA, SSA removes those months from your early-filing reduction, permanently raising your benefit.
COLA vs annual recomputation
COLA applies to everyone based on inflation. Annual recomputation is personal—based on your new earnings or status changes. You can receive both in the same year. See: How COLA is Calculated.
Annual recomputation checklist
- Review your earnings history in your my Social Security account each year and correct any gaps.
- If self-employed, file on time to avoid delays.
- Ask us to model whether working another year could replace a low year and by how much.
Helpful resources:
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We are not affiliated with or endorsed by the Social Security Administration.
Want us to audit your recomputation?
We’ll verify earnings, estimate the increase, and watch for back-pay timing.
Prefer to talk? Call 800-533-5969
FAQs: Social Security annual recomputation
Do I need to request a recomputation?
No. SSA runs annual recomputations automatically once your prior-year earnings post. Just verify your earnings record.
When will I see the increase?
The higher rate is effective in January after the earning year; you’ll see it after SSA processes your record, with back pay for months owed.
Does part-time work even help?
Yes, if the earnings replace a lower or zero year in your top 35. We can model the projected increase before you decide.
What if I had benefits withheld before FRA?
At FRA, SSA adjusts your reduction for the withheld months, increasing your permanent benefit going forward.
How is this different from COLA?
COLA is inflation-based and applies to everyone. Annual recomputation is personal and depends on your new earnings and status changes.
