The new age to collect Social Security is creating major buzz in the United States, especially as the traditional retirement age of 67 is being phased out. For years, most workers planned their golden years around this milestone, but new legislation is pushing that age even higher. If you are planning for retirement, this change directly impacts when you can start claiming full benefits and how much you will receive.
Understanding the new age to collect Social Security is now more important than ever. This article breaks down what the new rules mean, who they apply to, and how you can make the best financial decisions moving forward. We will explain what is changing, why it is happening, and what steps you should consider as you approach retirement age.
New Age To Collect Social Security In 2025 and Beyond
If you were born in 1965 or later, get ready to say goodbye to retirement at 67. The full retirement age is officially moving to 68, starting in 2025. This shift means working Americans will need to delay retirement or adjust their plans to avoid reduced benefits. The move comes in response to people living longer and the pressure on the Social Security trust fund, which is predicted to run low by 2034. Claiming benefits early, at 62, can reduce your monthly payments by up to 30 percent, while delaying benefits until age 70 can increase your monthly check by as much as 32 percent. With such big changes, staying informed is the key to protecting your future income.
Overview Table: Full Glance at What is Changing
| Key Point | Details |
| Old Full Retirement Age | 67 years |
| New Full Retirement Age | 68 years (for those born 1965 and after) |
| Early Retirement Possible | Yes, starting at 62 years |
| Early Filing Penalty | Up to 30% reduction in monthly benefits |
| Late Filing Bonus | 8% increase per year until age 70 |
| Reason for Change | Increased life expectancy and budget strain |
| First Group Affected | Born in 1965 |
| Social Security Fund Depletion Year | Projected by 2034 |
| Full Retirement Age in 2025 | 66 years and 10 months (for 1959 birth year) |
| Benefits Available At | Any time from age 62 to 70 |
Why Say Goodbye To Retirement At 67?
Retirement planning in the United States is evolving, and the idea of retiring at 67 is quickly becoming outdated. The federal government is raising the full retirement age to reflect longer life spans and increasing pressure on the Social Security system. People are healthier, living longer, and spending more years in retirement, which means the system needs adjustments to remain sustainable.
For those born in 1960 or later, 67 was already the set retirement age. But starting in 2025, the change will go even further. If you are born in 1965 or after, you will need to wait until age 68 to receive full Social Security benefits. This shift will require individuals to plan more carefully and consider working longer or saving more to maintain their lifestyle during retirement.
Early Filing Reductions
While you can still begin collecting Social Security at age 62, doing so comes with a permanent reduction in your monthly check. For those born in 1959, the cut is approximately 29 percent. For people born in 1960 or after, that reduction climbs to a flat 30 percent.
These cuts are lifelong, which means if you start early, you lock in that lower amount forever. While early retirement may be appealing for personal reasons, the financial impact is significant. It is crucial to calculate the long-term difference in benefits before making a decision.
Benefits of Delaying Retirement
On the flip side, waiting beyond your full retirement age can result in larger monthly payments. For each year you delay beyond your full retirement age, your benefit increases by around 8 percent, up to age 70. That means if your full retirement age is 68 and you wait until 70, you could see a total increase of 16 percent in your monthly payment.
Delaying retirement is a smart move for those in good health, with adequate savings or income to hold off claiming benefits. It can make a significant difference in your financial security later in life.
Social Security Retirement Eligibility 2025
To collect Social Security in 2025 and beyond, you need to meet certain eligibility criteria. These rules remain mostly unchanged, but the age you can access full benefits is shifting.
Eligibility includes:
- You must be at least 62 years old to start collecting benefits
- You must have earned enough credits (typically 40, which equals about 10 years of work)
- You must be a U.S. citizen or legal resident
- You must apply for benefits through the Social Security Administration
Those who qualify include retirees, individuals with disabilities, and the dependents or surviving family members of eligible workers. These benefits provide a vital safety net and are a key part of many Americans’ retirement plans.
Average Retirement Age In United States
The average retirement age in the United States has been rising slowly over the years. Many Americans used to retire around age 65, but the trend has shifted due to longer life expectancy, higher living costs, and changes to Social Security rules.
With the new age to collect Social Security now moving to 68, we can expect this average to rise even more. More people are choosing to work into their late 60s or even 70s, whether by choice or necessity. Planning for a longer working life and building savings early is more important than ever.
New Rules For Working While Receiving Social Security From November 2025 – Check Eligibility
Starting in November 2025, there will be updates to how Social Security benefits are handled for individuals who work while collecting payments. If you are below your full retirement age and continue to earn above a certain threshold, a portion of your benefits may be withheld.
However, this is not a permanent loss. Once you reach full retirement age, those withheld benefits are added back to your monthly checks, resulting in slightly higher payments. If you plan to keep working, knowing these limits can help you make better decisions and avoid surprises in your benefit amount.
Key Changes You Need to Know
- Retirement Age Increase: Individuals born in 1965 or later will need to wait until age 68 to claim full benefits.
- Early Retirement Penalty: If you retire at 62, your monthly benefit will be reduced by up to 30 percent for life.
- Delayed Retirement Bonus: You can earn up to 8 percent more per year by delaying benefits until age 70.
- Working While Receiving Benefits: New income limits apply starting November 2025. Earnings above the limit can reduce benefits temporarily.
FAQs
If you were born in 1965 or later, your full retirement age is now 68 years old.
Yes, but your monthly Social Security benefits will be permanently reduced by up to 30 percent.
The change is happening because people are living longer and the Social Security trust fund is under financial strain.
You will receive a higher monthly payment, increasing by about 8 percent for each year you delay past full retirement age, up to 70.
No, only individuals born in 1965 or later are affected by the new retirement age of 68. People born before that follow the previous retirement schedule.
