Many Americans rely on social security benefits during their post-retirement years to live a comfortable life.
While American citizens could previously claim full security benefits at 65, a law passed by Congress in 1983 facilitated raising the retirement age threshold. This change was made to account for longer life expectancies. As the social security age has changed for 2025, here’s everything you must know to enjoy optimal benefits.
New Age Limits to Claim Full Social Security Benefits
Individuals born between 1943 and 1954 will reach the full retirement age in 2025, making them eligible to claim full social security benefits. However, those born after 1954 will have to wait slightly longer.
People born in 1955 will have a full retirement age of 66 years two months, whereas those born in 1956 will achieve a full retirement age of 66 years four months.
There is an increase of two months every year to accommodate longer life expectancies. Hence, people born in 1957 attain full retirement age at 66 years six months, whereas individuals born in 1958 become eligible for full security benefits at 66 years eight months.
Boomers and Gen Xers
The increase in full retirement age for young boomers (those born between 1959 and 1965) is drastic. Those born in 1959 can claim full social security benefits at 66 years and ten months, while those born after 1960 can claim full benefits once they turn 67 years old.
So, if you were born in January 1960, you can only claim full benefits from January 2027. Gen X (individuals born between 1965 and 1980) will also have to wait longer to enjoy full benefits. It can be challenging for many Gen Xers, as 40% don’t have a penny saved for retirement.
Misconceptions around Social Security Age
Many Americans think that Congress is increasing the qualifying age to claim social security benefits, which isn’t true. Congress passed a law a few decades back that enabled the government to move up the qualifying age by two months for every successive birth year.
This amendment linked the exact month for claiming full benefits to your year of birth. Individuals can still claim retirement benefits once they become 62 years old, but it will disqualify them from receiving full benefits for the rest of their lives. This bureaucratic adjustment was made to tackle the financial challenges associated with increased life expectancies.
Greater Returns for Availing Benefits on Full Retirement Age
People who wait to claim retirement benefits till they attain full retirement age enjoy maximum returns. They not only get full payments, but they also get increased amounts each year until age 70 to tackle inflation.
The cost-of-living adjustment has already been updated to 2.5% for 2025, increasing the monthly social security payment from $1,927 to $1,976.
