The Social Security Administration (SSA) has confirmed a major update that will affect millions of Americans approaching retirement. Starting January 2026, the full retirement age (FRA) for Social Security benefits will officially be set at 67 for all individuals born in 1960 or later.
This marks the completion of a decades-long shift in retirement eligibility, significantly impacting when beneficiaries can claim full payments.
Why the Retirement Age Is Changing
The increase stems from the 1983 Social Security Amendments, which aimed to adjust retirement ages gradually due to rising life expectancy. Without reform, longer lifespans could deplete the Social Security trust fund more quickly, placing strain on future payouts.
Previously, full retirement age ranged from 65 to 66 and 10 months, depending on birth year. Now, with the final adjustment to 67 years, the transitional period ends unless Congress introduces new amendments.
Key Retirement Age Changes: A Breakdown
Here’s a look at how the full retirement age (FRA) has changed based on your birth year:
| Year of Birth | Full Retirement Age |
|---|---|
| 1958 | 66 years, 8 months |
| 1959 | 66 years, 10 months |
| 1960 or later | 67 years |
Note: Early benefits at age 62 remain available, but come with significant reductions.
Claiming Early vs. Waiting Longer
You can begin collecting Social Security at age 62, but this will result in permanent monthly reductions. Conversely, delaying benefits beyond your FRA up to age 70 grants delayed retirement credits, increasing your monthly check.
For example:
- A worker born in 1960 eligible for $1,000/month at 67
- If claimed at 62: Receives only $700/month (30% reduction)
- If claimed at 70: May receive up to $1,240/month (24% increase)
How This Affects Your Retirement Planning
This change means future retirees must:
- Adjust retirement timelines
- Consider delayed claiming for higher payouts
- Budget carefully if retiring before 67
- Apply for Medicare by age 65, even if delaying Social Security, to avoid late penalties
The SSA states:
“If you decide to delay your benefits until after age 65, you should still apply for Medicare benefits within 3 months of your 65th birthday.”
Should You Delay Claiming?
Delaying benefits offers financial advantages, but it may not be realistic for everyone. Health, employment status, and personal finances all play a role. Some retirees may find claiming early or at FRA better suited to their situation.
With the full retirement age now officially 67 for those born in 1960 or later, it’s essential to revisit your retirement strategy.
While delaying your claim increases monthly benefits, early withdrawals reduce your lifetime income. Smart planning and understanding SSA guidelines can make a big difference in your retirement comfort.
FAQs
What is the full retirement age for people born after 1960?
Starting in 2026, the full retirement age is 67 years for everyone born in 1960 or later.
Can I still claim Social Security at 62?
Yes, but you’ll receive reduced benefits — up to 30% less than your full retirement amount.
Is it worth delaying Social Security until age 70?
If financially possible, yes — you could receive up to 24% more per month in delayed retirement credits.