People born between 1960 and 1970 can now apply for Social Security benefits when they turn 62, the minimum age. However, the full retirement age (FRA) for this cohort is 67, according to the Social Security Administration (SSA). Starting payments before FRA reduces the monthly amount permanently.
For example, if the full benefit at age 67 is $2,000, applying for benefits at age 62, or five years earlier, would reduce the check by 30% for a total of $1,400 per month. This reduction compensates the Social Security system for the larger expense it must make for a longer payment period.
The SSA recalculates the amounts using the 35 years of highest income, adjusted for inflation, and the money comes from the fund that exists by law for these benefits, which in turn is financed with contributions from workers.
Maximum and average benefits, if you decide to claim Social Security today
In 2025, the average benefit is $1,976 per month, a 2.5% increase from the previous year. Those who have contributed above the maximum income subject to tax ($176,100 in 2025) can receive up to $4,018 per month if they claim their pension when they turn 67.
The maximum amount only applies to those who have reached the contribution limit for 35 years. For most workers, the benefit ranges between $1,000 and $3,800 per month. Those with lower incomes or fewer years of contributions will receive lower benefits, according to the calculation of their Indexed Average Monthly Income (AIME).
The SSA allows you to delay claiming benefits until age 70, which is an 8% increase annually after reaching Full Retirement Age (FRA). For example, a beneficiary who receives $2,000 per month at age 67 could receive $2,480 at age 70. This increase is irreversible, but requires deferring receipt of payments for three full years.
Delayed benefits and waiting credits: the reward of patience
Those born between 1960 and 1970 combine characteristics of baby boomers and Generation X. According to expert analysis, they tend to have higher incomes than previous generations, which could increase their benefits. However, factors such as labor gaps or informal jobs can reduce the amounts.
In 2025, more than 68 million people receive Social Security benefits. The 2.5% COLA added $49 to the monthly average, but recent inflation could dilute this increase. SSA updates COLAs annually based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W).
This comparative list can help you get a clearer picture. Let’s take as an example a fictitious beneficiary who expects $2,000 at age 67, his FRA:
- If you start at age 62, your payment is reduced by 30%, and you will receive $1,400.
- If he claims the payment from age 65, he will receive 86.7% of your FRA amount, which is $1,734.
- At 67, which is your FRA, the payment will be a full monthly check of $2,000.
- If you wait until age 70, the payment increases to 124% of the total FRA, and you will claim $2,480 per month.
Working after FRA does not reduce benefits, and may increase them if current earnings exceed previous years. The SSA reevaluates employment records annually, updating the AIME if applicable. This benefits those who prolong their working lives with high salaries.
Basic eligibility requirements to claim Social Security in 2025
In addition to age, 40 work credits (equivalent to 10 years of work) are required to access benefits. Each credit is earned with $1,810 of income in 2025, adjusting annually. Those who do not meet this requirement do not qualify for retirement, but could access other programs.
Benefits are calculated exclusively from taxable income reported to the SSA. Undeclared jobs or income outside the formal system are not considered. Self-employed people must pay full taxes (12.4% for Social Security) to accumulate credits.
