Social Security benefits play a big role in the financial life of many Americans, especially retirees and people with disabilities. But did you know that Social Security payments can vary from state to state?

While the federal government sets the payment formulas, the actual average benefit people receive can differ across the U.S. due to local factors like living costs, types of claims, and work histories.

Let’s break down the average Social Security payments in each state so you can get a clear picture of how your state compares.

Why Do Social Security Payments Vary by State?

Even though Social Security is a federal program and the basic formula is the same for everyone, a few reasons cause differences between states:

1. Work History: States with more high-paying jobs tend to have retirees who earned more, and as a result, their Social Security payments are higher.
2. Cost of Living: Some states have a higher cost of living, and people may work longer or earn more to keep up, leading to bigger benefits.
3. Type of Claims: In some areas, more people claim disability benefits or survivors’ benefits, which can affect the average payment.

National Average Social Security Benefit

As of early 2024, the average Social Security retirement benefit is about $1,790 per month.

This amount can be higher or lower based on your state, your work history, and when you decide to claim your benefits.

States with the Highest Average Social Security Payments

Some states stand out because they have higher-than-average Social Security benefits. Here are a few of them:

• New Jersey: Retirees in New Jersey receive an average of $1,960 per month. The state’s strong job market and high average wages contribute to this number.
• Connecticut: The average monthly payment is around $1,950. This is also due to high incomes and a well-educated workforce.
• Delaware: The average payment sits at about $1,930 per month.
• New York: Beneficiaries here receive around $1,920 on average.
• California: Known for its high living costs, California’s average is around $1,910 per month.

These states typically have higher wages, and that reflects in their Social Security payouts.

States with the Lowest Average Social Security Payments

On the flip side, some states have lower average payments. Here’s a look:

• Mississippi: Retirees here receive an average of around $1,550 per month.
• Louisiana: The average monthly benefit is about $1,570.
• Arkansas: Payments average around $1,580.
• Alabama: Retirees get an average of $1,590.
• New Mexico: The average here is close to $1,600 per month.

These states often have lower average wages, which leads to smaller Social Security checks.

What About Your State?

Here’s a quick look at the average Social Security benefits for some other states:

• Texas: Around $1,720 per month
• Florida: About $1,750 per month
• Illinois: Roughly $1,780 per month
• Ohio: Close to $1,690 per month
• Pennsylvania: Around $1,760 per month

No matter where you live, remember that your payment depends on your work record, how much you earned over your career, and when you choose to claim benefits.

How to Maximize Your Social Security Benefit?

If you want to get the most out of your Social Security, here are some simple tips:

• Work for at least 35 years. Your benefit is calculated based on your 35 highest-earning years, so working longer can increase your average.
• Delay claiming. While you can start claiming at 62, waiting until your full retirement age (or even 70) means bigger monthly payments.
• Track your earnings. Make sure the Social Security Administration has an accurate record of your work history.

Final Thoughts

Your Social Security benefit is a key part of your retirement plan. While you can’t control where you live, which affects your base payment formula, understanding how averages work in your state can help you plan better.

Whether you live in a state with high average benefits or a state with lower averages, it’s important to make smart decisions to maximize your benefits.