Social Security to increase age for those eligible for retirement checks in 2026 – Personal Finance – Finance

The age at which individuals can begin collecting all their benefits, also known as the Full Retirement Age (FRA), is slated to rise in 2026.

The FRA is determined by considering a person’s birth year, while their monthly benefits are calculated based on the number of years they’ve worked and their income during that time. Some Americans may claim Social Security as early as age 62, but there’s a catch—doing so permanently reduces their monthly benefit by 30%.

Conversely, this does not occur for those who wait until their FRA to claim their benefits.”We use it (Full Retirement Age) to determine some of our benefits rules,” explains the U.S. Social Security official website, adding that regardless of your Full Retirement Age, your Retirement benefit payment will be higher the longer you delay applying, up to age 70.

What is the Full Retirement Age increase for Social Security in 2026?

Social Security’s full retirement age will see its final scheduled increase in 2026. Starting next year, the FRA will hit 67 for everyone born in 1960 or later.

Since 2021, the FRA has been rising by two months each year. Currently, it stands at 66 years and 10 months.

When will I receive my Social Security check?

As the FRA hits 67, those born in 1960 won’t qualify for their full benefits until 2027, instead of 2026.

The rise in the FRA will initially impact the youngest baby boomers, those born between 1960 and 1964, followed by Gen X, which includes individuals born between 1965 and 1980.

How do I check my own Full Retirement Age?

You can verify your Full Retirement Age using this Retirement Age Calculator.

The tool advises that if your birthday falls on Jan. 1 of any year, you should enter the previous year, as this is how your full retirement age is calculated.

Who stands to be most affected by the increased Full Retirement Age?

“Raising the retirement age is an effective cut in lifetime benefits for younger baby boomers, members of Gen X, and all the generations after,” Max Richtman, CEO of the advocacy group National Committee to Preserve Social Security and Medicare, told CBS News.

“Having time to plan, however, does not mean they have been able to put aside more for retirement, considering the stagnation of real wages and the rising cost of college tuition, home prices, and other key living expenses,” he further noted.