For decades, age 67 has been widely recognized as the full retirement age (FRA) for Social Security benefits in the United States. But now, that benchmark is changing. The Social Security Administration (SSA) has introduced new retirement age guidelines, raising the full retirement age and altering how and when future retirees can access their full benefits.
This shift reflects the government’s efforts to adapt to longer life expectancy, financial sustainability, and increasing pressure on the Social Security trust fund. If you’re planning for retirement, understanding these changes is essential for protecting your future income.
What Has Changed: New Full Retirement Age Guidelines
As of 2025, the SSA has begun phasing in a new full retirement age schedule for people born in 1963 and later. The full retirement age will now gradually increase from 67 to 68 over the next decade.
Key Updates:
- Born in 1960–1962: Full retirement age remains 67
- Born in 1963–1966: FRA increases by 2 months each year (e.g., 67 years 2 months, 67 years 4 months)
- Born in 1967–1969: FRA increases up to 67 years 8 months
- Born in 1970 and later: New full retirement age becomes 68
This is the first significant change to retirement age rules since the last major Social Security reform in 1983.
Why Is the Full Retirement Age Increasing?
The decision to increase FRA is tied to:
- Increased life expectancy in the U.S.
- Strain on the Social Security Trust Fund, which may face insolvency by 2035
- A need to reduce early retirement claims that deplete the system faster
By extending the FRA to 68, the SSA expects to slow benefit payouts and encourage longer workforce participation.
Impact on Your Social Security Benefits
Changing the FRA has a direct impact on when you can collect full Social Security benefits without reductions.
Key Effects:
| Retirement Age | Impact on Benefits |
|---|---|
| Age 62 | Still the earliest claim age, but with bigger reductions (up to 35%) |
| Age 67 | No longer “full” for some; partial benefit if born 1963 or later |
| Age 68 | Full benefit for those born 1970 and after |
| Age 70 | Still the maximum benefit age for delayed retirement credits |
If you retire before your FRA, your monthly payments will be permanently reduced. If you delay until after your FRA, you’ll receive delayed retirement credits, increasing your monthly benefit by up to 8% per year until age 70.
How to Plan Your Retirement Under the New Rules
With the new full retirement age gradually shifting, planning becomes even more important. Here are steps to stay ahead:
1. Know Your FRA
- Use the Social Security Retirement Age Calculator at SSA.gov
- Verify your personal FRA based on your birth year
2. Estimate Your Benefits
- Set up or log in to your My Social Security account
- Use the benefit estimator tool to see how retiring at 62, FRA, or 70 will affect your income
3. Adjust Your Financial Plan
- Increase savings in 401(k) or IRA accounts to cover longer work years
- Consider delaying retirement if possible to maximize benefits
- Evaluate healthcare coverage if you retire before Medicare eligibility at age 65
Pros and Cons of Delaying Retirement
| Advantages | Disadvantages |
|---|---|
| Higher monthly Social Security benefits | You work longer before collecting |
| Additional years to save for retirement | May not be possible due to health or job loss |
| Access to employer-sponsored health insurance | Less retirement leisure time |
FAQs – New Full Retirement Age Rules
Q1. Is age 67 still the full retirement age for Social Security?
No, for individuals born in 1963 or later, the full retirement age is now increasing beyond 67.
Q2. What is the new full retirement age for someone born in 1970?
Age 68 is now considered the full retirement age for individuals born in 1970 and after.
Q3. Can I still claim benefits at age 62?
Yes, but you will receive reduced benefits. The reduction will be larger under the new rules if FRA is 68.
Q4. Does this affect Medicare eligibility?
No, Medicare eligibility remains at age 65.
The Social Security Administration’s new guidelines signal a significant shift in retirement planning. With full retirement age moving from 67 to 68, Americans must rethink when and how they retire. These changes are aimed at stabilizing the Social Security system—but they also mean you’ll need to be more proactive about your future.
Whether you’re in your 40s, 50s, or early 60s, now is the time to:
- Understand your new retirement age
- Maximize personal savings
- Strategize Social Security filing dates
The earlier you start preparing, the more control you’ll have over your retirement lifestyle.