Know Your Social Security Retirement Age

Changes are coming to the Social Security retirement age.

While you can start receiving Social Security benefits as early as age 62, waiting a few years to reach the age for full benefits can make a big difference to your retirement income. But if you’re now in your 60s, you should know that the Social Security retirement age is starting to rise. If you were born in 1954 or earlier, the age to receive full benefits is 66. But those born in 1955 (now 60 or 61) or later will have to wait a little longer, as the retirement age will gradually increase to 67 for those born in 1960 or later.

Waiting until full retirement age can be worth it. Filing up to three years early reduces your benefits by five-ninths of 1 percent per month, and five-twelfths of 1 percent beyond three years early. You can also wait to file after your full retirement age to increase your monthly payment. Not many Americans choose to do this, but it is a great option if you’re able to take advantage of it. The amount continues growing until you are 70, so the longer you’re able to delay, the better off you’ll be.

Read about the changes in The Motley Fool. Find tips to plan for retirement on the Midland National blog.

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