SSA confirmed – Social Security’s Retirement Age will change again in April 2025!
Many people in America still believe that the official retirement age of Social Security is 67 years, but now this is not completely true. Social Security’s Full Retirement Age (FRA) is going to increase again in the year 2025. This change will affect millions of older Americans, especially those born in 1959, who are now approaching retirement.
If you are planning for retirement yourself or helping someone in your family, then it is important to understand how this change will affect your future income.
What is Full Retirement Age (FRA)?
FRA is the age when you are eligible to receive your full Social Security pension i.e. 100% benefit, which is based on your entire life’s earnings.
If you want, you can start taking Social Security from the age of 62, but you will get less payment in it and this reduction will be permanent. On the other hand, if you wait till 70 years, then your monthly benefit can increase significantly.
History of Social Security Retirement Age
| Year of Birth | Full Retirement Age (FRA) | Notes |
|---|---|---|
| 1937 or earlier | 65 | Original retirement age set by SSA |
| 1938 | 65 and 2 months | Start of gradual increase |
| 1939 | 65 and 4 months | |
| 1940 | 65 and 6 months | |
| 1941 | 65 and 8 months | |
| 1942 | 65 and 10 months | |
| 1943–1954 | 66 | New standard FRA for these birth years |
| 1955 | 66 and 2 months | Gradual increase toward age 67 |
| 1956 | 66 and 4 months | |
| 1957 | 66 and 6 months | |
| 1958 | 66 and 8 months | |
| 1959 | 66 and 10 months | Applies for those retiring in 2025 |
| 1960 or later | 67 | Final phase of increase completed |
Earlier, everyone’s retirement age was 65 years. But in 1983, Congress decided that in view of the increasing age and long life of people, the retirement age should be gradually increased so that the Social Security system can be kept financially strong.
Now the age is being gradually increased by two months every year. It depends on your birth year.
Retirement Age Timeline (Get it straight):
- Born in 1937 or earlier – Retirement age: 65 years
- Born between 1943 and 1954 – Retirement age: 66 years
- Born between 1955 and 1959 – 2-month increase every year
- Born in 1960 or later – Retirement age: 67 years
What’s new in 2025?
If you were born in 1959, your full retirement age will now be 66 years and 10 months. This is two months more than those born in 1958, whose FRA was 66 years and 8 months.
People born in 1959 can start collecting their full Social Security pension from November 2025 – but only if they wait until their full age (FRA).
Is it still possible to retire at 62?
Yes, you can start taking Social Security at age 62 if you want, but there is a big disadvantage — your monthly pension will be reduced by about 30%.
This reduction is permanent, meaning no matter how many years you live, you will continue to receive the same reduced amount.
Why waiting can be beneficial?
Let’s understand with an example:
- In 2024, if a person retires at his FRA, he can get up to $3,822/month.
- If the same person retires at 62, he will get only $2,710/month.
- But if he waits until age 70, his benefit can increase by 25% or more.
Despite this, only 4% of Americans wait until age 70 to receive Social Security.
2025 Cost-of-Living Adjustment (COLA)
Each year, Social Security’s amount is increased according to inflation. This is called COLA.
The 2025 COLA will be 2.5%, the lowest it has been since 2021. This means your Social Security income will increase slightly starting in January 2025.
Who will be most affected?
This change will affect:
- Baby Boomers born between 1959 and 1964
- Gen X members born between 1965 and 1979
and those born in 1960 or later whose FRA is 67, which will first apply in January 2027.
Concerns about retirement savings
Many Americans don’t have enough savings for retirement. According to one report:
- 1 in 3 young baby boomers will rely 90% or more on Social Security.
- Gen X families have saved an average of just $150,000, compared to the $1.5 million experts recommend.
- 40% of Gen X people have no retirement savings at all.
This makes it clear that Social Security planning is more important now than ever.
Conclusion: Plan now to avoid problems later
The Social Security retirement age is going to increase again in 2025 — it will now be 66 years and 10 months for people born in 1959. While this change may seem small, it can have a lifelong impact on your income.
If you start taking Social Security early, you’ll get less money each month — forever. But if you stay, your monthly income could increase.
FAQs
What will be the Full Retirement Age (FRA) of Social Security in 2025?
Ans: In 2025, those born in 1959 will have their Full Retirement Age increased to 66 years and 10 months. They can receive their full pension from November 2025, if they wait until FRA.
Can Social Security still be taken at age 62?
Yes, you can claim Social Security at age 62, but this results in a permanent reduction of about 30% in your monthly pension.
Why is the Retirement Age being increased repeatedly?
Under a law passed in 1983, the FRA is being gradually increased to keep the Social Security system financially strong. Because people now live longer, this was necessary to reduce the burden on the system.
What is the FRA for those born in 1960 or later?
For those born in 1960 or later, the Full Retirement Age is fixed at 67 years.