Full Retirement Age

When it comes to full retirement age and receiving Social Security Income, beneficiaries choose what age to receive retirement income. This decision requires research because it directly impacts SSI income.

Beneficiaries have three choices for collecting retirement benefits:

Decide to collect early
Collect at full retirement age
Delay retirement to increasing monthly benefit (if eligible)

Your top 35 years of earnings determine the Social Security Income amount. Beneficiaries can increase retirement benefit potential after 65 years old.

Those with a birthday on January 1st have a benefit calculation from the prior year. If your birthday is on the 1st of the month, social security determines your benefit as if it was in the previous month. Benefits are based on your birth year.

What is Full Retirement Age

Full retirement age planning can be difficult and there are many things to consider

Full retirement age is the age at which a beneficiary is entitled to receive the total allowance of Social Security benefit provided each month. Social security full retirement age is based on the year of birth, which makes sense because people are living longer and therefore collecting more in benefits during their retirement years.

Although, the full retirement age has been 65 years old. The change is taking place in increments over a period of twenty-two years. Also, 67 is the retirement age for those born after 1959.

For beneficiaries born in 1937 and before, normal retirement is 65. However, those born in 1938 or later need to know that age is going to slowly increase until it reaches 67.

Retire early

Early retirement begins at age 62. You can choose to retire early and receive a fraction of your full monthly benefit.

However, the reduction is based on a fraction of a percent for each full month before you reach full retirement age.

Full Retirement Age 1954

Beneficiaries born between the years 1943 and 1954 will reach normal retirement age at 66. Although, retiring at 66 will allow you to claim 100% of your SSI benefit. If you retire at age 62, you’ll receive 75% of the benefit amount.

Full Retirement Age 1952

Those born between the years 1943 and 1954 will reach full retirement age at 66. Retiring at 66 will allow you to claim 100% of your Social Security Income benefit. Retiring at age 62, you’ll receive 75% of the benefit amount.

Full Retirement Age 1953

Complete retirement age is 66 for those born between the years 1943 and 1954. By retiring at 66 you’ll be able to claim 100% of your retirement benefit. However, by taking early retirement at age 62, you’ll receive 75% of your benefit amount.

Full Retirement Age 1956

Normal or full retirement age for beneficiaries born in 1956 is 66 years and 4 months. Although, waiting until this age will allow you to claim 100% of your SSI benefit. Claiming early retirement at 62 will get 73.3% of the monthly benefit. Then, retiring at 65 gets a 91.1% monthly benefit.

Full Retirement Age 1955

Full retirement age for claimants born in 1955 is 66 years and 2 months. This is the required age to be eligible for 100% of your monthly retirement benefit. Early retirement at age 62 would be a reduction in benefits. Yielding a monthly benefit of 74.2% Retiring at age 65 will get a 92.2% monthly benefit.

Full retirement age 1957

Beneficiaries born in 1957 complete retirement at 66 years and 6 months. Meaning SSI pays 100% of the benefit amount if you retire at this age. Retiring at 62 will get 72.5% of the monthly benefit and age 65 will earn 90% of the monthly benefit amount.

Full retirement age 1959

Beneficiaries born in 1959 reach complete retirement at 66 years and 10 months. It’s at this time you can retire and expect to receive 100% of your monthly benefit. Early retirement at age 62 will receive 70.8% of the monthly benefit and age 65 will get 87.8% of the monthly benefit.

Full retirement age 1951

Those born between the years 1943 and 1954 will reach complete retirement at 66. Retiring at 66 will allow you to claim 100% of your SSI benefit. You’ll receive 75% of your benefit amount if you retire at age 62.

Full retirement age 1958

Claimants born in 1958 reach normal retirement age at 66 years and 8 months and can expect to receive 100% of the monthly benefit. Early retirement at age 62 will get 71.7% of the monthly amount and age 65 will get 88.9% of the monthly benefit amount.

Delayed retirement

On the flip side, you can choose to delay retirement. If you do, you might be able to increase your monthly benefit through “delayed retirement credits”. The increase stops accumulating at age 70.

If you decide to delay retirement past age 65, be sure to check with a licensed insurance agent regarding your Medicare enrollment. You don’t want to miss the enrollment period and incur a penalty as some penalties stay with you forever.

What’s the best option

For most people, collecting full retirement benefits is ideal. As a society, we’re healthier and living longer. Beneficiaries want to enjoy their retirement years playing golf, taking up a hobby or starting a new business venture.

You’ll have to decide which option best suits your needs because retirement might last longer than you think. The Social Security Administration suggests that you consider your current health situation, whether you come from a long-lived family, and do any family members qualify for benefits based on your record.

There is a life expectancy planner available, but it really boils down to making the best guess. Take into account if you opt for early retirement and a lesser monthly payout then a surviving spouse will have to take the lesser amount if claiming on your record.

Although you can practically see your own mortality when crunching the numbers, it must be done. Bite the bullet and make the best decision for you.