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How Cost-of-Living Adjustments Affect Social Security Benefits
from 1978 through 2012, Bob had lifetime Social . Security earnings of $3,586,573. Dividing this by 420, which is the number of months in 35 years, Bob has average indexed monthly earnings (AIME) of $8,539. To calculate his Social Security primary insurance amount (PIA), the $8,539 is divided into three “bend points.”
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