Question

Mr. jenkins is almost 67 years old and is preparing to retire. Over his life he earned an average of $3,750 per month after adjusting for inflation. The formula for calculating monthly social security benifits is 90% of the first $680 earned, then 32% of the earning over $680. Whata will Mr. Jenkins' monthly benefit be?

Answer 1

$1594.40

Explanation:

The question is on monthly benefit for social security

Average amount earned per month=$3750

Benefit earned in first $680 = 90/100 ×3750 = $612

Benefit earned for amount over $680 = 32/100 ×($3750-$680)

0.32×3070=$982.40

Total amount earned as benefit per month= $612+$982.40 =$1594.40