If you were born in 1960, your full retirement age for Social Security is 67. That’s the age at which you qualify for 100% of your earned benefit, with no reduction for filing early and no bonus for waiting. You can start collecting as early as 62, but doing so permanently cuts your monthly check by 30%. Delaying until 70 raises it by 24%. And Medicare, which is separate, still begins at 65 regardless of when you file for Social Security.1Social Security Administration. Retirement Benefits
Why the Age Is 67
For most of Social Security’s history, full retirement age was 65. The Social Security Amendments of 1983 gradually pushed it to 67 to help the program’s long-term finances as life expectancies rose.2eCFR. 20 CFR 404.409 – What Is Full Retirement Age? The change rolled out in two phases separated by a long plateau, adding two months per birth year until it hit 67 for anyone born in 1960 or later.1Social Security Administration. Retirement Benefits
1960 is where the escalator stops. Section 216(l) of the Social Security Act sets 67 as the ceiling, so if you were born in 1961, 1975, or 2000, your full retirement age is also 67.3Social Security Administration. Social Security Act 216
What Claiming at 62 Costs You
You can file for retirement benefits at 62, but the reduction is steep and it lasts for life. Filing five years (60 months) before your full retirement age of 67 cuts your monthly benefit by 30%.4Social Security Administration. Retirement Age and Benefit Reduction On a $2,000 full-retirement benefit, that’s $1,400 every month for the rest of your life.
The math uses a two-tier formula. For the first 36 months you claim early, benefits are reduced by 5/9 of 1% per month. For each additional month beyond that, the reduction is 5/12 of 1% per month.5Social Security Administration. Benefit Reduction for Early Retirement Filing at 62 puts you 60 months early, so both tiers apply: 20 percentage points from the first 36 months and another 10 from the next 24, totaling 30%.
Filing at 63, 64, 65, or 66 lands somewhere between full and the 30% haircut, but the reduction is still permanent. Annual cost-of-living adjustments continue to apply, but they’re calculated off the smaller base. You never catch up to what you would have received at 67.
Whether early filing pays off depends on how long you live. The typical breakeven point is around age 77. Live past it, and waiting until 67 puts more total money in your pocket. If your health is poor or you need the income now, filing early can still be the right call, but go in knowing the lifetime cost.
Waiting Past 67
Delaying past your full retirement age flips the math. For every month you wait to claim between 67 and 70, Social Security adds 2/3 of 1% to your benefit, which works out to 8% per year. Wait the full three years to age 70 and your monthly check is 24% larger than your full retirement benefit, permanently.6Social Security Administration. Delayed Retirement Credits Cost-of-living adjustments compound on the higher base, so the gap widens over time.
Credits stop accruing at 70. Waiting until 71 or 72 to file adds nothing. If you delay past 67 but decide you want money sooner, Social Security allows up to six months of retroactive benefits, though the retroactive period cannot reach back before your full retirement age.6Social Security Administration. Delayed Retirement Credits Taking a retroactive lump forfeits the delayed credits for those months, so it’s a trade between money now and a higher check going forward.
If You Keep Working Before 67
Collecting benefits while still working, before you reach 67, triggers the earnings test. In 2026, if you’re under 67 for the entire year, Social Security withholds $1 in benefits for every $2 you earn above $24,480. In the year you turn 67, a higher threshold applies: $1 withheld for every $3 earned above $65,160, counting only earnings in the months before your birthday.7Social Security Administration. Receiving Benefits While Working Once you reach 67, the earnings test disappears entirely and you can earn any amount without withholding.8Social Security Administration. How Work Affects Your Benefits
Withheld money isn’t lost. When you reach 67, Social Security recalculates your monthly benefit upward to account for the months payments were held back.8Social Security Administration. How Work Affects Your Benefits It works more like a deferral than a penalty.
Medicare Still Starts at 65
This is where people born in 1960 get caught. Medicare eligibility begins at 65, two years before your Social Security full retirement age. If you assume the two line up at 67, you can miss your Medicare enrollment window and pay for it forever.
Your Initial Enrollment Period is a seven-month window: three months before the month you turn 65, your birthday month, and three months after.9Centers for Medicare & Medicaid Services. Original Medicare (Part A and B) Eligibility and Enrollment If you have qualifying employer health coverage, you can delay Part B without penalty.10Social Security Administration. Sign Up for Medicare Without that coverage, skipping enrollment triggers a late enrollment penalty of 10% added to your Part B premium for every full 12 months you were eligible but didn’t sign up, and that surcharge lasts as long as you have Part B.
The standard Part B premium for 2026 is $202.90 per month.11Centers for Medicare & Medicaid Services. 2026 Medicare Parts A and B Premiums and Deductibles Once you start collecting Social Security, the premium is deducted directly from your monthly check.12Social Security Administration. Benefits Planner – Retirement – Medicare Premiums If you filed early at a reduced amount, that automatic deduction can take a noticeable bite out of an already-smaller payment.
How and When to Apply
Social Security lets you apply up to four months before the month you want benefits to start, and your first payment arrives the month after the start month you choose.13Social Security Administration. Timing Your First Payment If you want benefits to begin the month you turn 67, submit your application around the time you’re 66 and eight months. You can apply online at ssa.gov, by phone, or in person at a local Social Security office.
If you’ve already passed 67 without filing, the retroactive payment option lets Social Security pay you for up to six months of benefits you were entitled to but didn’t claim, as long as those months fall after you reached full retirement age.6Social Security Administration. Delayed Retirement Credits Taking those retroactive months lowers your ongoing monthly amount slightly, because those months no longer count toward delayed retirement credits. For most people, filing on time is simpler.