Signed into law by President Franklin D. Roosevelt in 1935, the Social Security Act has since been providing seniors with a stable source of income during their retirement years. Social Security is an insurance program that is run by the Social Security Administration (SSA), and in addition to retirees, the SSA also pays benefits to survivors and individuals living with disabilities.
Generally speaking, the most common age of retirement is 65, however, in terms of being a Social Security beneficiary, there is a Full Retirement Age threshold as well. So whilst Social Security can be claimed from age 62, this is not the age at which a retiree will qualify to receive their full benefit amount.
Over the course of the past several decades, the Full Retirement Age has been gradually increasing so as to account for higher life expectancy rates. Next year, in 2026, the Full Retirement Age will finally stop increasing, unless Congress intervenes.
Here is what you need to know.
History of Social Security
The Social Security program is nearing a century of existence and at the time of its introduction, Kenneth S. Davis, a biographer, said that this was “the most important single piece of social legislation in the entirety of American history.”
The decision to gradually increase the Full Retirement Age came about at the beginning of the 80s as means to ease the strain faced by the system due to two consecutive recessions. Subsequently, in 1983, President Ronald Reagan signed into law a set of reforms that had been passed by Congress and starting in 1991, the Full Retirement Age was to be gradually increased in two month increments until it reached 67 — which will happen next year, marking a close to this transitionary period.
Seniors who had turned 65 in 1990 were the final group to have a Full Retirement Age of 65. Following this, those turning 65 in 1991 had a Full Retirement age of 65 years and 2 months, those turning 65 in 1992 had a Full Retirement Age of 65 years and 4 months, and as such, the Full Retirement Age has been gradually increasing to where it currently stands. In 2025, the Full Retirement Age rose to 66 years and 10 months for those born in 1959.
Next year, the Full Retirement Age will finally reach 67 years for those born in 1960 and later and it will remain at 67 years for the foreseeable future — assuming a new amendment is not introduced by Congress.
Full Retirement Age = full benefits
Retiree benefits can be claimed from age 62, however, by claiming earlier, you will be forfeiting a percentage of your benefit amount. Deciding when to begin claiming is a very important decision. Life situations differ from person to person and as such, claiming earlier may prove to be more beneficial for some, whilst others might have the option to hold off on claiming until they reach their Full Retirement Age or even later.
According to the SSA website, “if you start receiving benefits early, your benefits will be reduced a small percentage for each month before your full retirement age.”
By holding off on claiming past your Full Retirement Age till you are 70, you will qualify for “delayed retirement credits” and as a result, when you do begin claiming, your benefit will be even higher.
If, for instance, a base benefit amount is $1,000 and the Full Retirement Age for someone born in 1959 is 66 years and 10 months, by claiming at age 62, they will receive a 29% reduction meaning their benefit each month will only amount to $708.
Similarly, for someone born in 1960 or later, the Full Retirement Age will be 67, however if they claim at age 62, they will lose 30% of their benefit and will subsequently only receive $700.
On the other hand, holding off until you turn 70 claim will result in your benefit increasing by around 24%. Assuming again a base benefit of $1,000, if you delay claiming until age 70, your monthly benefit will be $1,240. However, “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. If you wait longer, your Medicare medical insurance (Part B) and prescription drug coverage (Part D) may cost you more money,” as per the SSA.