Social Security is often the largest source of income for retired workers. But a recent study published by the National Bureau of Economic Research found that older adults (ages 51 to 65) tend to underestimate their future Social Security benefit, sometimes to a significant degree.

A bigger-than-expected benefit is certainly a good surprise, but workers in their 50s and 60s should understand how much income Social Security will provide. Without an accurate estimate, it is impossible to plan for retirement. People who retire too early may struggle financially, and people who retire too late may regret staying in the workforce longer than necessary.

Read on to learn how Social Security benefits are calculated and how to estimate your future payout.

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Source Fool.com