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? asked in Business & FinanceTaxesUnited Kingdom · 8 months ago

How high is a government paid pension in America?

How high is the pension that you get from the government? In The Netherlands everyone above 67 years old get a basic pension from the state (AOW) It's about 1000 euros (roughly 1100 dollars).

4 Answers

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  • 8 months ago

    It's not fixed amount.  It's based on your earnings history.  You get about 30% of what you made when you were working.

  • n2mama
    Lv 7
    8 months ago

    In the U.S. there is no federal pension that applies to everyone. Social security is currently paid to people who worked and paid into the system and to their qualifying spouses. Judith provides details on that. People who were government employees draw a federal pension, which is what Mercedes answer pertains to. Most people in the U.S. do not have employer pensions any longer, and have to save to fund their own retirement. Many employers offer contributions to retirement accounts, but the major responsibility to fund retirement falls on the individual. This is especially true for Gen X and younger, as there is a very real risk that social security will no longer exist by the time those groups get old enough to collect it. I saw a stat that said 70% of Gen X believes they are more likely to see a UFO than a social security check in their lifetime.

  • Judith
    Lv 7
    8 months ago

    The amount of a monthly social security benefit depends upon how much a person earned when working and how much they paid into the social security system.  Right now the AVERAGE monthly benefit is around $1300.  The HIGHEST monthly benefit is a little over $3000.  That amount is paid to people who worked and earned maximum wages subject to SS taxes and who waited until age 70 to begin collecting.

    I was a federal employee who didn't pay into the social security program (new hirees as of 1983 do - they don't have a choice).  My pension was based upon my high 3 years of work plus the total overall amount I paid into the federal service system through the years.  I do not wish to divulge the amount of my pension nor do I know what the average federal employees governmental pension is.  Since all new federal employees as of 1983 are covered by social security, the old system is gradually phasing out as the beneficiaries die off.

    I was a SS claims rep for 32 yrs.

  • 8 months ago

    Under the current federal civil service retirement system you qualify for an annuity of 1.1% of you highest three years with over 30 years service after age 62 plus social security which is a percentage of earnings over 35 years after a complicated adjustment and what you draw from a tax deferred thrift savings plan. States and cities have different plans.  Police and firefighters have some very generous plans. 

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