For many years, Americans have believed that 67 is the official age for full retirement. But now this plan might be changing. The Goodbye to Retirement at 67 update is perfectly describing what’s happening in the US. Due to increasing living costs, longer life expectancy and financial pressure on social security, experts say the official retirement age could soon rise to 68 or even 69.
Each year, the Social Security Trustees Report reviews the health of social security trust funds. According to a recent report, these funds are expected to run short by 2034 which means that if nothing changes the social security system may not be able to pay full benefits to the future retirees. To help in fixing this problem, the Government may consider raising the retirement age again.
Goodbye to Retirement at 67
In the US, retirement at the age of 67 years has been standard for decades but now it’s shifting. The next generations might be saying Goodbye to Retirement at 67 as Social Security Trust funds might be depleted by 2034. This means future retirees could face smaller monthly payments. One of the solutions is to increase the FRA to 68 or 69. This would reduce the number of years people collect benefits and it can help to extend the trust fund solvency for a few more years. This issue is directly linked to the rising costs and inflation. As prices go up, the Government pays more in COLA to social security beneficiaries. These annual adjustments protect retirees purchasing power but they also put financial pressure on trust funds.
ssa.gov Retirement Age Changes Soon – Key Overview
| Post Title | Goodbye to Retirement at 67 |
| Country Name | United States |
| Benefit Name | Social Security Retirement Benefit |
| Managing Authority | Social Security Administration |
| Retirement Age | 67 Years for those who born in 1960 or later |
| Changes to Retirement Age | Expected to raised to 68 or 69 |
| Current Status | Not Confirmed |
| Early Retirement Claim | At the age of 62 years |
| Post Category | Finance |
| Official Web Portal | www.ssa.gov |
Retirement at 67: Why It May Soon Raise
The current FRA for social security is 67 for anyone who is born in 1960 or later. This is when beneficiaries can claim full benefits without any reduction. But US residents can still start collecting their benefits as early as age 62 years but the amount they would get might be reduced. Now, experts and lawmakers are debating whether that age should increase again and here’s why:
- Social Security is Running Out of Money: The social security system depends on taxes collected from current workers to pay retirees. But as the population ages and fewer people work compared to the number of retirees, the less money is coming in and more going out.
- People are living longer: As the people are now living longer and they will claim benefits more.
- Inflation Raises costs: Higher prices means retirees need bigger checks to keep up with the living expenses. The SSA adjusts the payments each year with a COLA and this adds more financial pressure to the fund.
Social Security New FRA For Retirees
Lawmakers are expected to raise the FRA to the age of 68 or 69 years. Americans could still claim benefits at 62 years but the monthly amount would be reduced even more than it is today. The following table shows the current Full Retirement Age:
| Birth Year | Full Retirement Age |
| 1937 or Prior | 65 Years |
| 1938 | 65 Years + 2 Months |
| 1939 | 65 Years + 4 Months |
| 1940 | 65 Years + 6 Months |
| 1941 | 65 Years + 8 Months |
| 1942 | 65 Years + 10 Months |
| 1943 – 1954 | 66 Years |
| 1955 | 66 Years + 2 Months |
| 1956 | 66 Years + 4 Months |
| 1957 | 66 Years + 6 Months |
| 1958 | 66 Years + 8 Months |
| 1959 | 66 Years + 10 Months |
| 1960 or later | 67 Years |
FAQs Related To Goodbye to Retirement at 67
Why might the retirement age increase from 67 to 68 or 69?
The retirement age increases from 67 to 68 or 69 because the social security trust funds are expected to run out by 2034.
Is it confirmed that the retirement age in the US increases from 67 to 68 or 69 Years?
No, it’s not official and confirmed that the FRA in the US increases from 67 to 68 or 69 years.
How inflation and increasing living costs affect SSA Retirement Benefits?
Inflation causes the higher COLA adjustment each year and this COLA increases the monthly payments and these higher monthly payments put financial pressures on the trust funds. This is how inflation affects the SSA Retirement Benefits.
What is the current FRA in the United States for social security benefits?
The current FRA is between 66 to 67 years and this fully depends on the birth year of the claimant.
