Sep 17, 2025
When planning for retirement, many Americans expect Social Security to be a key part of their income.
In fact, nearly 90% of people aged 65 and older receive benefits and, for millions, those payments make up more than 50% of household income.
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In the lead-up to your retirement, it’s important to get an idea of how much you’ll take home in Social Security benefits. Your benefit amount depends largely on your earnings history, but the age at which you claim also plays a significant role.
You can begin collecting Social Security as early as 62, though this results in reduced monthly payments. Most people reach full retirement age (FRA) at 67, which is when they’re eligible for full benefits. Waiting until age 70 increases your benefit further.
As you plan, consider whether it’s worth receiving a higher monthly benefit later — or accessing a steady income stream sooner.
Taking Social Security later leads to a larger check
As of 2025, nearly 69 million Americans receive Social Security benefits each month. Before joining them, it’s wise to run the numbers to decide the best time to claim.
In January 2025, the average monthly retirement benefit was $1,976, but the actual amount varies significantly based on the age you start collecting.
Claiming benefits before your FRA results in a permanent reduction. But delaying past your FRA increases your monthly payment.
Here’s how average monthly benefits vary by claiming age:
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62: $1,342
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63: $1,364
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64: $1,425
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65: $1,611
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66: $1,764
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67: $1,930
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68: $1,980
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69: $2,040
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70: $2,148
That’s a difference of $806 more per month for someone who waits until 70 compared to claiming at 62.
While delaying benefits can lead to a higher income in retirement, some may prefer the financial flexibility of claiming as early as age 62. The right choice depends on your health, income needs, and retirement goals.
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When should you claim your benefits?
The best time to claim Social Security depends on your individual circumstances. To make the right decision, you’ll need to weigh out several factors.
Your financial situation: Assess how essential Social Security is to your retirement income. If you have a strong nest egg, pension, or other income sources, you may be able to delay benefits for a larger monthly check. But if you don’t have enough savings or can’t work, claiming early might be necessary to cover basic expenses.
Your health and life expectancy: If you’re in poor health or have a shorter expected lifespan based on family history, claiming benefits early could be the more practical option. On the other hand, if you’re in good health and expect to live into your 80s or beyond, delaying benefits can increase your total lifetime payout.
Employment plans: If you claim benefits early and continue working, your benefits may be reduced. In 2025, $1 is deducted for every $2 earned above the annual earnings limit, which is $23,400. So, if you plan to keep working full-time, it may make sense to wait.
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Sarah Sharkey is a personal finance writer who enjoys helping people make optimal financial decisions for their situation. She loves digging into the nitty-gritty details of financial products and money management strategies to root out the good, the bad, and the ugly. Her goal is to help readers find the best course of action for their needs.
