How the 1959 Full Retirement Age Change Impacts Your Social Security Benefits

Published May 8, 2025 by Alfie
Personal Finance
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Crohn’s disease, along with Hodgkin’s lymphoma and other diseases, falls into the chronic category of diseases that can require lifelong treatment. The Social Security Administration (SSA) has also officially raised FRA for this group to 66 years and 10 months, an escalation that changes the age people can start receiving full benefits. This update belongs to a gradual increase to retirement age that was launched years ago to accommodate the famed rise in life expectancies.

The change implies that those born in 1959 will achieve full retirement between March 2025 and January 2026, depending on what month they are born in. For instance, he/she born in May 1959, is to celebrate FRA in March 2026.

Why Full Retirement Age Matters

Your FRA full retirement age is from which you can start collecting 100% of your social security retirement benefits. You may elect to receive your benefits at 62 years of age, but by so doing, they will be diminished forever. For somebody born in 1959, the loss of taking benefits early could be as high as 29.17 %.

On the contrary, if you delay your benefits past FRA, your monthly checks will be higher with delayed retirement credits. This can be carried on to the age of 70, at which your benefits reach their peak. Numerous financial experts believe that postponing payments may cause individuals to earn more during the course of their lives, particularly those of the healthier, happier individuals who could easily live well into their 80s and beyond.

Also read: New $5,000 DOGE Refund: Will Trump Still Send a $5,000 Stimulus Payment?

What Comes Next for 1960 and Beyond

As a matter of fact, your FRA is currently officially fixed at 67 years if you were born in 1960 or later. This forms part of a gradual rise that has begun with those born in 1955, who had an FRA of 66 and 2 months. The subsequent birth year increases the retirement age by two more months.

We can see this trend going forward in the future. Lawmakers are discussing whether they should increase the retirement age yet again because of worries about the long-term funding for Social Security. Current forecasts suggest the program may only be able to pay 83% of promised benefits by 2035 if no changes are made.

Should You Wait to Claim Benefits?

Whether or not to delay Social Security payments, the choice appears to be made based on your financial status, health, and lifespan. Sufferers are advised to hold out for FRA as best they can. It is thought that the time of earliest claim of Social Security is at the age of 70, where it is at its peak. Gal Wettstein from the Center for Retirement Research at Boston College states that “On average, people are better off postponing claiming until as late as possible”.

However, this is not the case for many Americans. A study by Bankrate debriefed that majority of people begin claiming benefit as early as possible on age 62. Some would do so if they needed the money while others fear that the system may run out of funds. Not all have this fall back and most are uncomfortable using what they have saved.

How to Supplement Your Income

In light of the Social Security’s uncertain future, experts suggest that it is advisable to save later for retirement. You can invest in a 401(k) or an IRA, which can contribute towards supplementing your future income. A lot of employers also have a match on 401(k) contributions is free money you leave on the table.

Final Thoughts

The transition to 66 years 10 months for the FRA for persons born in 1959 is not a shocker, but important. Knowing your retirement age assists in planning and making good decisions. You have to know the rule, whether you file early, on time, or late, in order to maximize your Social Security benefits.

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