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How are the Average Monthly Earnings (AME) or the Average Indexed Monthly Earnings (AIME) computed?
701. How are the Average Monthly Earnings (AME) or the Average Indexed Monthly Earnings (AIME) computed?
To compute your AME or AIME, divide your total earnings in the "computation years" (see §703) by the number of months in those years. The exception is explained in §709. If the result is not an exact multiple of $1, round down to the next lower multiple of $1.
Last Revised: March, 2001
- Computation Years Defined
- The Simplified Old-Start Formula
- Maximum Monthly Benefits Payable on One Earnings Record
- Figuring the AME Under the Simplified Old-Start Formula
- Primary Insurance Amount (PIA) as Basic Figure
- How is the Primary Insurance Benefit (PIB) computed under the simplified old-start formula?
- Figuring the PIA Under the 1990 Consolidated Methods
- What is included as "total earnings" when computing the AME or AIME?
- Are other methods of computing net earnings for self-employment available?
- Determining the PIA
- Special Minimum PIA
- The Automatic Recomputation
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