In 2020, the two bend points for computing Social Security’s Primary Insurance Amount (PIA) are $960 and $5,785. This means that in 2020, the benefit formula works in the following way: PIA is given by 90% of the first $960 of AIME, plus 32% of the amount above $960 until $5,785, plus 15% of the amount above $5,785. Suppose that after a long and successful career, somebody has reached the full benefits age and has average indexed monthly earnings of $5,000. What is their Primary Insurance Amount? $1,292.80 $1,600.00 $2,156.80 $2,464.00 $2,515,25
In 2020, the two bend points for computing Social Security’s Primary Insurance Amount (PIA) are $960 and $5,785. This means that in 2020, the benefit formula works in the following way: PIA is given by 90% of the first $960 of AIME, plus 32% of the amount above $960 until $5,785, plus 15% of the amount above $5,785. Suppose that after a long and successful career, somebody has reached the full benefits age and has average indexed monthly earnings of $5,000. What is their Primary Insurance Amount? $1,292.80 $1,600.00 $2,156.80 $2,464.00 $2,515,25
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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In 2020, the two bend points for computing Social Security’s Primary Insurance Amount (PIA) are $960 and $5,785. This means that in 2020, the benefit formula works in the following way: PIA is given by 90% of the first $960 of AIME, plus 32% of the amount above $960 until $5,785, plus 15% of the amount above $5,785.
Suppose that after a long and successful career, somebody has reached the full benefits age and has average indexed monthly earnings of $5,000. What is their Primary Insurance Amount?
$1,292.80
$1,600.00
$2,156.80
$2,464.00
$2,515,25
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