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Retirement BenefitsWho Should Read This Document?
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Year Of Birth |
Full Retirement Age |
1937 or earlier |
65 |
1938 |
65 and 2 months |
1939 |
65 and 4 months |
1940 |
65 and 6 months |
1941 |
65 and 8 months |
1942 |
65 and 10 months |
1943-1954 |
66 |
1955 |
66 and 2 months |
1956 |
66 and 4 months |
1957 |
66 and 6 months |
1958 |
66 and 8 months |
1959 |
66 and 10 months |
1960 and later |
67 |
If your full retirement age is older than 65 (that is, you were born after 1937), you still will be able to take your retirement benefits at age 62, but the reduction in your benefit amount will be greater than it is for people retiring now.
Here's how it works. If your full retirement age is 67, the reduction for starting your benefits at 62 is about 30 percent; at age 63, it's about 25 percent; at age 64, about 20 percent; at age about 13 percent; and at age 66, about 6 percent.
As a general rule, early retirement will give you about the same total Social Security benefits over your lifetime, but in smaller amounts to into take account of the longer period you will receive them.
Some people stop working before they reach age 62. In that case, it's important to remember that during years with no earnings, you miss the opportunity to increase your benefit amount by replacing lower earnings years with higher earnings years.
Important Notice: Sometimes poor health forces people to retire early. If you are unable to continue working because of poor health, you should consider applying for Social Security disability benefits. The amount of the disability benefit is the same as a full, unreduced retirement benefit. If you are receiving Social Security disability benefits when you reach age 65, they will be converted to retirement benefits. For more information, call SSA to ask for a copy of the document Disability Benefits (Publication No. 05-10029).
Not everyone retires at full retirement age. You may decide to continue working full time beyond that time. In that case, you can increase your Social Security benefit in two ways:
For example, if you were born in 1943 or later, we will add eight percent per year (2/3 of one percent per month) to your benefit for each year you delay signing up for Social Security beyond your full retirement age.
Year of Birth |
Yearly Rate of Increase |
1917—1924 |
3% |
1925—1926 |
3.5% |
1927—1928 |
4% |
1929—1930 |
4.5% |
1931—1932 |
5% |
1933—1934 |
5.5% |
1935—1936 |
6% |
1937—1938 |
6.5% |
1939—1940 |
7% |
1941—1942 |
7.5% |
1943 or later |
8% |
Important Notice: If you decide to delay your retirement, be sure to sign up for Medicare at age 65. In some circumstances, medical insurance costs more if you delay applying for it.
If you plan to start your retirement benefits after age 62, it is a good idea to contact Social Security in advance to see which month is best to claim benefits. In some cases, your choice of a retirement month could mean additional benefits for you and your family.
It may be to your advantage to have your Social Security benefits start in January, even if you don't plan to retire until later in the year. Depending on your earnings and your benefit amount, it may be possible for you to start collecting benefits even though you continue to work. Under current rules, many people can receive the most benefits possible with an application that is effective in January.
If you are not working, or your annual earnings are under the earnings limits explained later (see "If You Work And Get Social Security At The Same Time"), or you plan to start collecting your Social Security when you turn 62, you should apply for benefits three months before the date you want your benefits to start.
Because the rules are complicated, we urge you to discuss your plans with a Social Security claims representative in the year before the year you plan to retire.
Widow(er)s can
begin receiving benefits at age 60 or age 50 if disabled. If
you are receiving widows or widowers (including divorced
widows or widowers) benefits, you can switch to your own
retirement benefits (assuming you're eligible and your
retirement rate is higher than your widow(er)'s rate) as
early as age 62. In many cases, a widow(er) can begin
receiving one benefit at a reduced rate and then switch to
the other benefit at an unreduced rate at age 65. The rules
vary depending on the situation, so you should talk to a
Social Security representative about the options available
to you.
If you're receiving retirement benefits, some members of your family also can receive benefits. Those who can include:
Spouse's Benefits
A spouse receives one-half of the retired worker's full benefit unless the spouse begins collecting benefits before age 65. In that case, the amount of the spouse's benefit is permanently reduced by a percentage based on the number of months before she or he reaches 65. For example, if your spouse begins collecting benefits at 64, the benefit amount would be about 46 percent of your full benefit. At age 63, it would be about 42 percent, and 37.5 percent at age 62. However, if your spouse is taking care of a child who is under age 16 or disabled and receiving Social Security benefits, your spouse gets full benefits, regardless of age.
If you're eligible for both your own retirement benefits and for benefits as a spouse, we always pay your own benefit first. If your benefit as a spouse is higher than your retirement benefit, you'll get a combination of benefits equaling the higher spouse benefit.
Here's an example:
Mary Ann qualifies for a retirement benefit of $250 and a wife's benefit of $400. At age 65, she will receive her own $250 retirement benefit and we will add $150 from her wife's benefit, for a total of $400. If she takes her retirement benefit at any time before she turns 65, they will be reduced.
Maximum Family Benefits
If you have children eligible for Social Security, each will receive up to one-half of your full benefit. But there is a limit to the amount of money that can be paid to a family. If the total benefits due your spouse and children exceed this limit, their benefits will be reduced proportionately. Your benefit will not be affected.
A divorced spouse can get benefits on a former husband's or wife's Social Security record if the marriage lasted at least 10 years. The divorced spouse must be 62 or older and unmarried. If the spouse has been divorced at least two years, he or she can get benefits, even if the worker is not retired. However, the worker must have enough credits to qualify for benefits and be age 62 or older. The amount of benefits a divorced spouse gets has no effect on the amount of benefits a current spouse can get.
You can call SSA's toll-free number, 1-800-772-1213 to apply for benefits or to make an appointment to visit any Social Security office to apply in person.
Depending on your circumstances, you will need some or all of the documents listed below. But don't delay applying for benefits because you don't have all the information. If you don't have a document you need, we can help you get it.
Information Needed
You will need to submit original documents or copies certified by the issuing office. You can mail or bring them to Social Security. We will make photocopies and return your documents.
If you disagree with a decision made on your claim, you can appeal it. The steps you can take are explained in the factsheet, The Appeals Process (Publication No. 05-10041), which is available from Social Security.
You have the right to be represented by an attorney or other qualified person of your choice. More information is in the factsheet, Your Right To Representation (Publication No. 05-10075), which is also available from Social Security.
You can continue to work and still get retirement benefits. Earnings in, or after, the month you reach age 70 won't affect your Social Security benefits. However, before age 70, your benefits will be reduced if your earnings exceed certain limits.
These limits increase each year as average wages increase. For the current amounts, contact Social Security to ask for the leaflet, How Work Affects Your Benefits (Publication No. 05-10069).
If other family members receive benefits on your Social Security record,the total family benefits will be affected by your earnings. This means we will offset not only your benefits, but those payable to your family as well. If a family member works, however, the family member's earnings affect only his or her benefits.
If during the year, your earnings are higher or lower than you estimated, let SSA know as soon as possible so we can adjust your benefits.
A Special
Monthly Rule
A special rule
applies to your earnings for one year, usually your first
year of retirement. Under this rule, you can receive a full
Social Security check for any month you are
"retired,'' regardless of your yearly earnings. Your
earnings must be under a monthly limit. If you're
self-employed, the services you perform in your business are
taken into consideration as well.
If you want more information on how earnings affect your retirement benefit, call SSA to ask for a copy of the leaflet, How Work Affects Your Benefits (Publication No. 05-10069). This leaflet has the figures for the current annual and monthly earnings limits.
About 20 percent of people who get Social Security have to pay taxes on their benefits. This provision affects only people who have substantial income in addition to their Social Security.
At the end of each year, you will receive a Social Security Benefit Statement (Form SSA-1099) in the mail showing the amount of benefits you received. You can use this statement when you are completing your federal income tax return to find out if any of your benefits are subject to tax.
For more information, call the Internal Revenue Service's toll-free telephone number, 1-800-829-3676, to ask for Publication 554, Tax Information for Older Americans, and Publication 915, Social Security Benefits and Equivalent Railroad Retirement Benefits.
If you get a pension from work where you paid Social Security taxes, it will not affect your Social Security benefits. However, if you get a pension from work that was not covered by Social Security—for example, the federal civil service, some state or local government employment, or work in a foreign country—your Social Security benefit may be lowered or offset.
For more information, call Social Security to ask for the factsheets, Government Pension Offset—for government workers who may be eligible for Social Security benefits on the record of a husband or wife (Publication No. 05-10007) and A Pension From Work Not Covered By Social Security—for people who worked in another country or for government workers who also are eligible for their own Social Security benefits (Publication No. 05-10045).
If you are a United States citizen, you can travel or live in most foreign countries without affecting your eligibility for Social Security benefits. However, there are a few countries—Cambodia, Cuba, North Korea, Vietnam, and many of the former U.S.S.R. republics (except Estonia, Latvia, Lithuania, and Russia)—where we cannot send Social Security checks.
If you work outside the United States, different rules apply in determining if you can get your benefit checks.
Most people who are neither U.S. residents nor U.S. citizens will have 25.5 percent of their benefits withheld for Federal income tax.
For more information, call SSA to ask for a copy of the document,Your Social Security Payments While You Are Outside the United States (Publication No. 05-10137).
Medicare is a health insurance plan for people who are 65 or older. People who are disabled or have permanent kidney failure can get Medicare at any age. Medicare has two parts—hospital insurance and medical insurance. Most people have both parts.
Hospital insurance, sometimes called Part A, covers inpatient hospital care and certain follow-up care. You have already paid for it as part of your Social Security taxes while you were working.
Medical insurance, sometimes called Part B, pays for physicians' services and some other services not covered by hospital insurance. Medical insurance is optional, and a premium is charged.
If you're already getting Social Security benefits when you turn 65, your Medicare (Part A) starts automatically. If you're not getting Social Security, you should sign up for Medicare close to your 65th birthday, even if you aren't ready to retire. For more information, call SSA to ask for the document , Medicare (Publication No. 05-10043).
Help
for Low-Income Medicare Beneficiaries
If you have a
low income and few resources, your state may pay your
Medicare premiums and, in some cases, other
”out-of-pocket” Medicare expenses such as
deductibles and coinsurance.
Only your state can decide if you qualify for help under this program. If you think you may qualify, contact your state or local medical assistance (Medicaid) agency, social service office, or welfare office. For more information, contact Social Security to request a copy of the leaflet , Medicare Savings For Qualified Beneficiaries (HCFA Publication No. 02184).
For More InformationRecorded information and services are available 24 hours a day, including weekends and holidays, by calling Social Security's toll-free number, 1-800-772-1213. You can call for an appointment or to speak to a service representative between the hours of 7 a.m. and 7 p.m. on business days. SSA's lines are busiest early in the week and early in the month so, if your business can wait, it's best to call at other times. Whenever you call, have your Social Security number handy.
People who are deaf or hard of hearing may call SSA's toll-free “TTY” number, 1-800-325-0778, between 7 a.m. and 7 p.m. on business days.
The Social Security Administration treats all calls confidentially—whether they're made to SSA's toll-free numbers or to one of SSA's local offices. We also want to make sure that you receive accurate and courteous service. That's why we have a second Social Security representative monitor some incoming and outgoing telephone calls.
Booklets AvailableSocial Security has a number of publications that contain information about other Social Security programs. Contact Social Security to get a free copy of any of these publications. They include:
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