Starting in April 2025, Americans will see a key shift in how they access Social Security retirement benefits. The Full Retirement Age (FRA) is officially increasing, and this change could impact your retirement plans.
If you’re approaching retirement, it’s essential to understand how this change affects your eligibility, benefits, and timing.
Let’s break down everything you need to know about this retirement age increase and whether you still qualify for full benefits.
What Is Full Retirement Age?
Full Retirement Age (FRA) is the age at which you can claim 100% of your Social Security benefits. If you claim before this age, your benefits are permanently reduced. If you wait beyond this age, your monthly benefits increase due to delayed retirement credits.
The U.S. government has gradually increased the FRA as life expectancy has risen and the Social Security system adjusts for sustainability.
What’s Changing in April 2025?
From April 2025, the FRA increases to 66 years and 10 months for individuals born in 1959. This is part of a long-planned phase-in leading to an FRA of 67 years for everyone born in 1960 or later.
Here’s a quick breakdown:
| Year of Birth | Full Retirement Age (FRA) |
|---|---|
| 1958 | 66 years and 8 months |
| 1959 | 66 years and 10 months |
| 1960 or later | 67 years |
If you were born in 1959, your FRA will hit in early 2026, but the new rules take effect for those turning 66 years and 10 months after April 2025.
Early Retirement vs. Delayed Retirement
You can still start claiming Social Security as early as age 62, but with reduced benefits. Here’s how it works:
- Claiming at 62: You’ll get around 70–75% of your full benefit, depending on your FRA.
- Claiming at FRA: You’ll get 100% of your monthly benefit.
- Delaying until 70: You’ll get up to 132% of your monthly benefit due to delayed retirement credits.
Working and Receiving Benefits
If you work while receiving benefits before your FRA, your benefits may be temporarily reduced.
Here are the 2025 earnings limits:
| Age Group | Annual Earnings Limit | Reduction |
|---|---|---|
| Under FRA | $23,400 | $1 reduction for every $2 earned over limit |
| Year you reach FRA (up to month) | $62,160 | $1 reduction for every $3 earned over limit |
| After reaching FRA | No limit | No reduction in benefits |
Once you reach your full retirement age, there’s no earnings cap, and you’ll receive full benefits regardless of income.
Who Needs to Plan for This Change?
This change is especially important for:
- Those born in 1959 who will hit retirement age between April 2025–early 2026
- Workers aged 62–66 considering when to start claiming
- Anyone expecting to work past 62 but before their new FRA
If you don’t plan your retirement around the new FRA, you could lose out on thousands of dollars over time.
The retirement age increase in April 2025 is a significant milestone for many Americans. If you were born in 1959, your Full Retirement Age is now 66 years and 10 months, which means claiming before that will lower your monthly Social Security benefits.
Whether you plan to retire early, on time, or later, it’s critical to understand how this shift affects your eligibility and payment amount. By planning ahead, you can maximize your retirement income and ensure a more comfortable future.
FAQs
Can I still retire at 62?
Yes, you can start receiving benefits at 62, but your monthly amount will be permanently reduced compared to waiting until FRA.
What happens if I keep working after I start receiving benefits?
If you’re below your FRA and earn over the limit, your benefits will be temporarily reduced, but you’ll receive those deductions back in future payments after reaching FRA.
Will the FRA increase again after 2025?
For now, the FRA maxes out at 67 for people born in 1960 or later. There are no officially announced increases beyond this.