When it comes to Social Security, some of the lingo and acronyms people use can be a bit perplexing. We, at the Social Security Administration, are here to explain things to you.
They make an effort to communicate your benefits in plain language that anyone can understand. When it comes to communicating information “the public can understand and use,” the Plain Writing Act of 2010 mandates that federal agencies do so.
Talking about complex programs such as Social Security, SSI, and Medicare can be particularly difficult in this regard. In the event that you are unfamiliar with a term or acronym, the Social Security Administration‘s online glossary is a good place to start.
Here are a few examples of how this can be done: If you’re thinking about retiring, knowing your FRA and PIA can help you make an informed decision (primary insurance amount).
It is determined by when you start receiving requirement benefits that this amount is determined. The PIA is the amount a retired worker receives when he or she reaches full retirement age and begins receiving benefits. Retirement benefits can begin at your full retirement age (FRA).
In most years, the amount of your monthly benefit will increase due to a COLA (Cost-of-Living Adjustment).
DRCs (delayed retirement credits) are also an option. To put it another way, delaying taking retirement benefits after reaching full retirement age results in a gradual increase in your personal investment account (PIA).
Your monthly benefit will increase each month you delay taking benefits until you reach the age of 70.
Using the online glossary, you can help others understand these terms and acronyms if they come up in conversation. Getting familiar with the jargon will help you better understand how the Social Security system works for you.