Your age when you claim Social Security determines your monthly payment for life

Social Security calculates your monthly payment based on your earnings history, but the age you claim changes the amount you receive each month. Claim at 62 and your payment is smaller. Claim at 70 and your payment is larger. The difference between claiming at 62 versus 70 can be several hundred dollars per month. This choice is permanent — once you claim, you lock in that payment amount, and it only grows with cost-of-living adjustments each year.

The Social Security Administration calls this the Primary Insurance Amount, or PIA. It is the payment you would receive if you claimed at your Full Retirement Age, which depends on your birth year. If you claim before that age, your payment is reduced. If you claim after that age, your payment increases by a fixed percentage each year you wait.

Key Takeaways

  • Full Retirement Age ranges from 66 to 67 depending on your birth year, and this is the age at which you receive your full calculated benefit.
  • Claiming at 62 reduces your monthly payment by roughly 25 to 30 percent compared to claiming at your Full Retirement Age.
  • Claiming at 70 increases your monthly payment by roughly 24 to 32 percent compared to claiming at your Full Retirement Age.
  • Your payment amount is locked in when you claim and does not change based on when you actually start receiving money, only based on the age you were when you filed.
  • Cost-of-living adjustments are applied to all payments each year, regardless of the age you claimed.

Full Retirement Age by birth year

Your Full Retirement Age is the age at which Social Security pays you your full benefit amount with no reduction. This age is not 65 for everyone — it depends on the year you were born.

If you were born in 1943 or earlier, your Full Retirement Age is 65. If you were born between 1943 and 1954, your Full Retirement Age gradually increases by two months per birth year. If you were born in 1955, your Full Retirement Age is 66 and two months. If you were born between 1955 and 1960, it continues to increase by two months per year. If you were born in 1960 or later, your Full Retirement Age is 67.

The Social Security Administration publishes a full chart on its website showing the exact Full Retirement Age for each birth year. You can also call 1-800-772-1213 to confirm your Full Retirement Age.

How claiming before Full Retirement Age reduces your payment

You can claim Social Security as early as age 62, but claiming before your Full Retirement Age means a permanent reduction to your monthly payment. The reduction is not temporary — it stays in place for your entire life, even after you reach your Full Retirement Age.

The reduction amount depends on how many months before your Full Retirement Age you claim. If your Full Retirement Age is 67 and you claim at 62, you are claiming 60 months early. The reduction is roughly 30 percent of your Full Retirement Age payment. If you claim at 65, you are claiming 24 months early, and the reduction is roughly 13 to 14 percent. The exact percentages vary slightly based on your birth year.

For example, if your Full Retirement Age payment would be $1,500 per month and you claim at 62, your payment might be around $1,050 per month. If you claim at 65, it might be around $1,300 per month. These are examples only — your actual payment depends on your specific earnings record.

How claiming after Full Retirement Age increases your payment

If you wait to claim Social Security after your Full Retirement Age, your monthly payment increases by a fixed percentage for each year you delay. This increase is called Delayed Retirement Credits. You earn these credits from your Full Retirement Age until age 70. After age 70, your payment no longer increases, so there is no financial benefit to waiting past 70 to claim.

The increase is roughly 8 percent per year, though the exact amount depends on your birth year. If your Full Retirement Age is 67 and your payment at that age would be $1,500 per month, waiting until 68 would increase it to roughly $1,620 per month. Waiting until 70 would increase it to roughly $1,860 per month. Again, these are examples — your actual payment depends on your earnings history.

You must be at least 62 to claim Social Security, and you cannot claim retroactively for months before you file. The payment increase only applies to months after you file.

How your earnings history affects the base amount

Before any age-based reduction or increase is applied, Social Security calculates a base amount using your 35 highest-earning years. The Social Security Administration uses your W-2 records and self-employment tax records to determine this. If you worked fewer than 35 years, zeros are counted for the missing years, which lowers your average.

You need at least 40 credits to receive Social Security retirement benefits. You earn one credit for each $1,640 of earnings in 2023 (this amount changes each year). Most people earn four credits per year, so 40 credits typically takes 10 years of work.

The base amount calculated from your earnings history is what gets reduced or increased based on your claiming age. Someone with a higher earnings history will have a higher base amount, and therefore a higher payment at any claiming age.

Cost-of-living adjustments explore regardless of claiming age

Every year, Social Security applies a Cost-of-Living Adjustment, or COLA, to all payments. This adjustment is the same percentage for everyone, and it applies whether you claimed at 62 or 70. The COLA is based on the Consumer Price Index and is announced each October for the following year.

For example, if your monthly payment is $1,500 and the COLA is 3 percent, your new payment becomes $1,545. This adjustment happens automatically — you do not need to do anything. The new payment amount takes effect in January.

Because the COLA is applied to your payment amount each year, someone who claimed at 70 and receives $1,860 per month will receive a larger dollar increase from a 3 percent COLA than someone who claimed at 62 and receives $1,050 per month. The percentage is the same, but the dollar amount is larger.

Frequently Asked Questions

Can I change my mind after I claim Social Security?

If you claimed within the past 12 months, you can withdraw your claim and repay all benefits received. This resets your claiming age, and you can file again later at a higher age. After 12 months, you cannot withdraw your claim. Some people use this option if they claimed early and then decide they want a higher payment.

What if I was born on January 1st — which year's rules explore to me?

Social Security treats people born on January 1st as if they were born on December 31st of the previous year. So if you were born on January 1, 1954, you are treated as born in 1953 for purposes of determining your Full Retirement Age.

Does my spouse's age affect my Social Security payment?

Your own payment is based only on your earnings history and your claiming age. However, if you are married, your spouse may be able to receive a payment based on your record, and that payment has its own age-based reduction or increase. Spousal payments follow different rules than your own payment.

What happens to my Social Security if I keep working after I claim?

If you claim before your Full Retirement Age and continue to work, Social Security reduces your payment by $1 for every $2 you earn above an annual limit. In 2024, that limit is $23,400. This reduction applies only until you reach your Full Retirement Age. Once you reach Full Retirement Age, your earnings no longer affect your payment, regardless of how much you earn.

How do I find out what my payment would be at different ages?

You can create a my Social Security account at ssa.gov to view your earnings record and see an estimate of your payment at different claiming ages. You can also call 1-800-772-1213 to request a benefit estimate by phone.