Spoiler alert: There's a good chance it's not the age you think it is
What Is Full Retirement Age? Here’s What to Know to Get Bigger Social Security Payments
Published on Mar. 03, 2025
Ah, retirement. That wonderful time when you can turn off your alarm clock and while the day away exactly how you want to—no requests for time off required. Maybe you can finally plan those exotic vacations you’ve been dreaming about, learn French or take up pickleball. Why not! Like most American workers, you’re likely counting down the years, days and minutes until that magical age when can hang up your 9-to-5 hat for good. But what is full retirement age, exactly?
According to a new study, most people believe that retirement age is 64, but that may not be the case for many people. And if you don’t know what your full retirement age is, it could cost you and upend plans for your golden years. Read on to find out what full retirement age is and how to calculate yours so you can eventually sail off into the retirement sunset without a care in the world.
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What kinds of benefits will you receive when you retire?
Upon retirement, most Americans will receive Social Security and Medicare from the government, says Mary Clements Evans, president of Evans Wealth Strategies and author of Emotionally Invested: Outsmart Your Anxiety for Fearless Retirement Planning. The government uses a formula to calculate your monthly benefit based on the number of years you’ve worked and how much money you made each year, but there is a minimum amount you will receive as well as a maximum. For 2025, the minimum is $800 per month, and the maximum is $5,018 per month.
Depending on where you worked and your employee benefits, you may also be entitled to a pension, deferred compensation, IRA and/or 401K distributions, and any individual investment income.
What is full retirement age?
Full retirement age is the age at which you’re able to claim the full amount of Social Security benefits you have earned over the course of your career based on your earnings history. “This number will be different for people who were born in different years, and it’s based on a law passed by congress in 1983,” says Evans. “The law gradually increased the retirement age in an attempt to make the Social Security trust fund more solvent.”
So how do you find out your retirement age? It’s dependent on your birth year.
If you were born in:
- 1937 or earlier: Full retirement age is 65
- 1938–1943: Full retirement age increases gradually to age 66
- 1943–1954: Full retirement age is 66
- 1955–1960: Full retirement age increases gradually to 67
- 1960 or later: Full retirement age is 67
Once you know your full retirement age, Evans recommends going to SSA.gov to claim your Social Security account. “This will let you see your full retirement age and your estimated benefits,” she says. “It also allows you to review your earnings by year.”
You’ll also want to make sure that Social Security has your correct earnings for each year, she says. That’s because your monthly payment is determined by taking the average of your monthly earnings over the 35 years that you earned the most money. If you didn’t work for 35 years (for example, you’re a parent and took some time off work to stay home and raise children), you can still get Social Security benefits, as long as you worked for a total of 10 years, which is the minimum.
If you can’t claim 10 years of work, you can still collect—under two conditions. The first is if you are or were married to someone who worked for at least 10 years; in this case, you may be eligible for Social Security’s spousal benefit. The second is if you have a disability, in which case you could receive Social Security disability.
What can happen if you get this number wrong?
If you decide to take Social Security before your full retirement age, you can lose money. “Social Security reduces benefits if you claim early and increases them if you wait past your full retirement age, up to age 70,” says Andrew Gosselin, CPA, a personal finance expert and the founder of BusinessTutoring.com. “Someone who claims at 62 instead of 67 can see a permanent cut of around 30%. On the flip side, waiting can boost payments significantly.”
The problem is that once you start your claim, you’re locked in—and that’s something most people don’t realize. The government offers a one-year grace period to change your mind, but you have to repay any money you’ve received. Here’s what that means in a real-life example: Let’s say you decide to start drawing Social Security at 62. You have until your 63rd birthday to change your mind, but you’d have to pay back all the Social Security you’ve received in order to undo your decision and restart your retirement at a later age. “[It’s] a small window where you can undo it,” Gosselin says, “but most people don’t have the money to repay what they’ve already received.”
Is it ever a good idea to file for your retirement benefits early?
Filing early makes sense in some situations, according to Gosselin. For example, if someone has health problems or a shorter life expectancy, it might be better to collect sooner. Or if you need the money right away, delaying isn’t an option. There are also cases where taking benefits early helps a spouse maximize their payout later. “But for most people,” he says, “waiting leads to more financial stability in the long run.”
Evans agrees. “In most circumstances, it pays to wait,” she says. But if you’re unsure or think you’re one of the few people who may benefit from taking Social Security early, make sure you discuss it with a good financial advisor.
It’s also important to note that if you start drawing Social Security before full retirement age but you’re still working and earning money, the government will decrease your benefit by $1 for every $2 that you are over the earnings limit. “The limit for 2025 is $23,400,” says Evans. “If you start collecting in the year you reach your full retirement age, the limit increases to $62,160.” Once you reach full retirement age, though, there is no limit. You will earn your full benefit, no matter how much you earn each year—which is another great reason to wait.
What else should you consider before retiring?
- Get a full retirement plan from a qualified financial planner. “Look carefully at the qualifications,” says Evans. “There are no standards in the United States to call yourself a financial planner, so the client must do their own due diligence.”
- Don’t overlook the emotional aspects of retiring. “It’s a big shift in lifestyle,” she says. “You may have the financial resources, but the psychological ones are just as important. Where will you get your sense of purpose? How will you spend your time?” You may also want to move closer to family or to a different state for retirement, which can come with its own hurdles.
- When putting the plan together, don’t forget the potential need for increased care and medical expenses as you age. You don’t want to wait until you’re at that point to figure things out, Evans says. Instead, make sure to do this while you’re working and healthy and can plan accordingly.
- If you’re married, make sure that you and your spouse are on the same page. “I often find that couples, even if married for decades, have not had a detailed argument of what retirement will look like, feel like and cost,” she says. Retirement is a big life transition, and it’s important to be on the same page so it goes as smoothly as possible—both emotionally and financially.
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Sources:
- Mary Clements Evans, founder and president of Evans Wealth Strategies and author of Emotionally Invested: Outsmart Your Anxiety for Fearless Retirement Planning; email interview, Feb. 24, 2025
- Andrew Gosselin, CPA, personal finance expert, founder of BusinessTutoring.com and senior contributor to Coupon Mister; email interview, Feb. 24, 2025
- Social Security: “Starting Your Retirement Benefits Early”
- Social Security: “What is the maximum Social Security retirement benefit payable?”
- Social Security: “Eligibility for Social Security in retirement”
