I would like to be able to estimate what one's social security
benefits would be at full retirement (age 67).  At this site
http://www.ssa.gov/pubs/10070.html the 7 step procedure says to take
the top 35 highest years of earnings.  And if there are less than 35
years of earnings then some years will count as zero; 35 total years
are needed.  These are then indexed forward and added together and
then averaged.  This monthly average is then used to calculate
benefits: the first $656 is multiplied by 90%, the next $3299 is
multiplied by 32%, and any above that is multipled by 15%.

The social security also provides a benefit calculator
http://www.ssa.gov/retire2/AnypiaApplet.html to allow one to estimate
benefits.

My question: If you were to play around with the calculator, by using
some current given current age (try 30 years old and 50 years old. 
This is done by changing the date of birth), and put in some current
income (for years 2006 and 2007), you'll get an estimated benefit. 
But this benefit doesn't seem to change whether or not you put in some
earnings for previous years (prior to 2006).  But those earnings
should affect the average.  What is the inconsistency in their
EXPLANATION of the benefits and the CALCULATION of the benefits?

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Request for Question Clarification by sublime1-ga on 09 Sep 2006 01:13 PDT

dmarlen...

I'm having a problem reproducing your dilemma. If I enter income
only in the 2005 and 2006 boxes, I see a difference in the monthly
retirement benefit based on any change in birthdate, as you noted.

If I enter income into, e.g., the last 8-11 years prior to 2005,
I see a corresponding change in the monthly retirement benefit
for every change I make in the income entries. Are you clicking
on the 'Calculate Benefit' button after every change you make?

sublime1-ga