What Are Social Security Credits?

The Social Security system provides millions of Americans with income supplements based on their eligibility for retirement, disability, and/or survivor benefits. The 澳洲幸运5官方开奖结果体彩网:Social Security Administraꦺtꦏion (SSA) uses a credit system to de🦄termine eligibility for each of these ben༒efits.

Your number of credits establishes whether minimum work requirements have been met, based on the amount of time you spent in the workforce and on your compensation during that time.

Credit Requirements for Retirement Benefits

A total of 40 credits is required to be eligible for 澳洲幸运5官方开奖结果体彩网:retirement benefits. A single credit is earned over a quarter (three months), which means you can earnไ four credits during a calendar year. Because you can’t earn more than four credits per yಞear, it takes a minimum of 10 years in the workforce to accrue the credits necessary to apply for benefits.

The SSA assigns credits to your covered earnings. The numbers are adjusted annually to keep up with 澳洲幸运5官方开奖结果体彩网:inflation. You earn one credit for every $1,730 in 2024. (In 2023, it was one credit for every $1,640.) Once you earn $6,920 in 2024 ($6,560 in 2023) in taxable income, you have acquired the maximum number of credits for the year.

Credit Requirements for Disability Benefits

There are some situations in which benefits may be granted when the standard 40-credit threshold has not been met. One such scenario applies to the payment of disability benefits, known as 澳洲幸🀅运5官方开奖结果体彩网:Social Security Disability Insura🥂nce (SSDI).

In the SSDI 💎program, the 40-credit rule holds for those ages 62 and older, but those who become d♛isabled at a younger age may qualify with fewer credits.

Let's say you become disabled before age 24. You can apply for benefits with only six credits, as long as you earned them within the three years prior to your disability. If you are between 24 and 31, you must have credit for working half the number of years between 21 and the age at which you become disabled. This means that if you become disabled at age 29, you need to have worked for four years (for a total of 16 credits) within the eight years since you turned 21.

For those who are over the age of 31 and become disabled, credit requirements v❀ary by age. This can range from as few a🧔s 20 credits up to the maximum requirement of 40. You can see the amounts for each age on .

Unless you are legally blind, at least 20 of these credits must have been earned in the 10 years leading up to your disability.

Credit Requirements for Survivor Benefits

Even if you have not met the 40-credit minimum, your family may be eligible to 澳洲幸运5官方开奖结果体彩网:collect survivor benefits on your account in the event of your untimely death. Benefits may be payable to your children and your spouse who cares for them if you have acquired six credits within the three years preceding your death.

The Bottom Line

The U.S. Social Security program has incredibly complicated rules. Luckily, the Social Security Administration website has features that help you understand your benefits, apply for them, and track them. Once you create an account, you'll have access to personalized information about your benefits.

You can also track your credits on your own, using simple math. For every $1,730 of income you earn in 2024, for example, you earn one credit. (In 2023, it was $1,640 per credit. So to max out your credits for 2024, you need to earn $6,920. (In 2023, it was $6,560.) You can estimate how many years you'll earn around that much to learn when you'll be eligible to receive retirement benefits, which require a minimum of 40 credits. Disability and survivor benefits, however, work a bit differently.