A quarter of coverage for Social Security is based on which of the following?

A quarter of coverage for Social Security is determined by the minimum amount of wages earned within a specific time frame, typically on a yearly basis. This system operates to ensure that individuals accumulate enough work credits, which are essential for determining eligibility for various Social Security benefits, including retirement, disability, and survivors' benefits.

To earn a quarter of coverage, a worker must earn a specified amount of income in a given year, and the dollar amount required to earn a quarter is adjusted periodically, reflecting changes in average wages. For 2023, for instance, an individual earns one credit (or quarter of coverage) for every $1,640 earned, allowing a maximum of four credits per year.

While years of service, age at retirement, and employment type all relate to Social Security benefits, they do not directly influence the calculation of quarters of coverage. The focus on wages earned underscores the program's design to reward work history and contributions to the Social Security trust fund, making it a foundational aspect of determining eligibility for benefits.