As individuals work and pay taxes, they earn "credits" that count toward eligibility for future Social Security benefits. A worker can earn a maximum of four credits each year. Taxpayers can earn credits by:
- Working in jobs covered by Social Security.
- Operating their own business (being self-employed).
Most people need 40 credits (10 years of work) to qualify for benefits. Younger people need fewer credits to qualify for disability or survivor benefits.
During individuals' working years, their wages are posted to their Social Security records, and they receive earnings credits based on those wages. These credits are the basis for determining eligibility for retirement, disability, and survivor benefits.
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