What Social Security Retirement Benefits Are and Who Gets Them

Social Security retirement benefits are monthly payments from the federal government based on your work history and the age when you start collecting. You become may be able to access once you turn 62, but the amount you receive depends on how long you worked, how much you earned, and which age you choose to start.

You do not automatically receive these benefits. You must contact Social Security directly to claim them. The Social Security Administration (SSA) keeps a record of your earnings throughout your working life and uses that record to calculate your benefit amount.

Most people who worked in the United States for at least 10 years (40 work credits) can claim retirement benefits. If you worked for a government employer and paid into a different pension system instead of Social Security, your benefits may be reduced or you may not receive them at all.

Key Takeaways

  • You can claim retirement benefits as early as age 62, but your monthly payment will be smaller than if you wait until your full retirement age or later.
  • Your full retirement age depends on your birth year and ranges from 66 to 67; waiting until then gives you your standard benefit amount.
  • If you delay claiming past your full retirement age, your monthly benefit increases by roughly 8 percent per year until age 70.
  • You need at least 40 work credits (roughly 10 years of work) to be may be able to access, and Social Security counts your highest 35 years of earnings.
  • You can view your earnings record and estimated benefit amount online through your personal Social Security account before you claim.

The Three Ages That Matter: 62, Full Retirement Age, and 70

Social Security offers you three main windows to start collecting, and each one changes your monthly payment. The earliest is age 62, but claiming then reduces your benefit by roughly 25 to 30 percent depending on your birth year. This reduction is permanent — it applies to every payment you receive for the rest of your life.

Your full retirement age is the age at which Social Security pays you your standard benefit amount with no reduction. This age depends on your birth year: if you were born in 1943 or later, your full retirement age is between 66 and 67. The SSA website shows the exact age for your birth year.

If you delay claiming past your full retirement age, your benefit grows by roughly 8 percent per year. This increase stops at age 70, so there is no financial reason to wait longer than that. Waiting until 70 instead of claiming at 62 roughly doubles your monthly payment, but you receive fewer total payments over your lifetime if you die before your mid-80s.

How Your Benefit Amount Is Calculated

Social Security bases your benefit on your Primary Insurance Amount (PIA), which is calculated from your 35 highest-earning years. If you worked fewer than 35 years, the SSA counts zeros for the missing years, which lowers your average. The formula is progressive: it replaces a higher percentage of lower earnings and a lower percentage of higher earnings.

Your earnings record is public information that you can view. Create a personal account at ssa.gov to see your earnings history, verify it is correct, and view your estimated benefit at different claiming ages. If you spot an error — a missing year, a misspelled name, or earnings credited to the wrong year — you can request a correction, but you must do so within three years, three months, and 15 days of the year the error occurred.

The SSA sends you a statement showing your estimated benefits at ages 62, full retirement age, and 70. These estimates assume you continue working at your current rate until you claim. If you plan to retire early or work longer, your actual benefit may differ.

How to Claim Retirement Benefits

You can claim in three ways: online at ssa.gov, by phone at 1-800-772-1213, or in person at your local Social Security office. Online is usually fastest if you have a personal Social Security account set up. By phone, wait times vary but can be long during peak hours (early morning and early in the week tend to be less busy).

You will need to provide your Social Security number, birth certificate, proof of citizenship or legal residency, and a government-issued photo ID. If you were married, bring divorce papers or your spouse's death certificate. If you are still working, the SSA will ask about your earnings to determine if your benefits will be reduced.

After you submit your claim, the SSA typically makes a decision within two to three weeks. You will receive a notice by mail stating whether you were approved and when your first payment arrives. Payments are usually deposited directly into your bank account on the third of each month, though the exact date depends on your birth date.

Earnings Limits If You Claim Before Full Retirement Age

If you claim at 62 or 63 and continue working, Social Security reduces your benefit by $1 for every $2 you earn above an annual limit. For 2024, that limit is $23,400, but this figure changes each year. In the year you reach your full retirement age, the reduction is $1 for every $3 earned above a different limit (roughly $62,000 for 2024), and the reduction only applies to earnings before the month you turn full retirement age.

Once you reach your full retirement age, the earnings limit disappears entirely. You can work and earn as much as you want without any reduction to your benefit. This is one reason some people wait to claim: they can continue working without penalty.

The SSA counts only wages and self-employment income toward these limits. Investment income, pensions, and annuities do not count, so they do not affect your benefit.

Taxes on Your Retirement Benefits

Social Security retirement benefits may be taxable depending on your total income. If your combined income (adjusted gross income plus nontaxable interest plus half your Social Security benefit) exceeds certain thresholds, you may owe federal income tax on up to 50 or 85 percent of your benefits. For 2024, the thresholds are $25,000 for single filers and $32,000 for married couples filing jointly, but these do not adjust for inflation.

Many states do not tax Social Security benefits at all. A few states tax them under certain conditions. Check your state tax authority's website to learn the rules where you live.

The SSA does not withhold taxes automatically, so if you expect to owe, you can request voluntary withholding or make estimated tax payments to the IRS yourself.

What Happens to Your Benefits If You Are Married or Divorced

If you are married, you may be able to claim a spousal benefit based on your spouse's work record if their benefit is higher than yours. The spousal benefit is up to 50 percent of your spouse's full retirement age benefit, but only if you have reached your full retirement age. If you claim before then, the reduction is steeper.

If you are divorced and were married for at least 10 years, you can claim on your ex-spouse's record even if they have not yet claimed, as long as you are at least 62 and have been divorced for at least two years. You do not need your ex-spouse's permission. Your ex does not find out, and it does not reduce their benefit.

If you are widowed, you may receive survivor benefits starting at age 60 (or 50 if you are disabled). A surviving spouse caring for a child under 16 can claim at any age. These benefits are separate from your own retirement benefit and are based on your deceased spouse's earnings record.

Frequently Asked Questions

Can I change my mind after I claim?

Yes, but only within a limited window. If you claim and then change your mind within 12 months, you can withdraw your claim, repay all benefits you received, and claim again later at a higher amount. After 12 months, you cannot withdraw. However, you can suspend your benefits at your full retirement age and let them grow until 70, though this is rarely the best choice.

What if I worked outside the United States?

Work outside the US generally does not count toward Social Security unless you paid into the US system. Some countries have agreements with the US that allow credits to be combined. Contact Social Security directly if you worked abroad to learn whether your foreign work counts.

How much will my benefit be reduced if I claim at 62?

The reduction depends on your birth year. If your full retirement age is 67, claiming at 62 reduces your benefit by roughly 30 percent. If your full retirement age is 66, the reduction is roughly 25 percent. The SSA website calculator shows the exact reduction for your birth year and claiming age.

Do I lose my benefits if I move out of the United States?

You can receive benefits while living in most countries, but a few countries are restricted. If you move, notify Social Security within 30 days. Some countries require you to report in person to a US embassy or consulate once per year to verify you are still living.

What if Social Security made an error on my earnings record?

Contact Social Security as soon as you discover the error. You have three years, three months, and 15 days from the end of the year the error occurred to request a correction. Bring W-2 forms, tax returns, or other proof of your earnings. Correcting errors before you claim can significantly increase your benefit.