Social Security benefits. Social Security benefits for many senior citizens are the primary source of income. How high or how low your Social Security retirement benefits may be determine how you live in retirement, or whether you can take early retirement. There are a number of factors that determine what the monthly Social Security benefits retirement check will be.

These benefits are determined by earnings history, retirement date, birthdate, marital status, inflation and politics.

Benefits are more a function of earnings history than any other factor. The higher the wages, up to the limit, the higher the benefits. In many cases, working while collecting benefits will increase the next year's benefits. Regardless of how high you earnings have been, if you have not worked at least 35 years, you will be penalized. If you have not worked 40 quarters (10 years), your benefits will be diminished. If one retires before the normal retirement date and continues to work, the monthly payment might be reduced under certain circumstances.

Social Security benefits are affected by the retirement date in several ways. If you retire early, your payments will forever be reduced. If you retire late, your payments will forever be increased. If you have not reached the normal retirement date and you are receiving benefits and are still working, your benefits might be reduced.