Retirement age to rise in US from July 2025: Starting in July 2025, the full retirement age (FRA) of the US Social Security plan is gradually increasing again. This change won’t affect everyone overnight, but if you were born in 1959 or later, it will alter the timeline for claiming your full retirement benefits—and could also affect your financial planning.
Let’s look at what’s going on, why it’s important, and how you can handle it wisely.
1. Born in 1959
As of July 2025, your full retirement age is 66 years and 10 months — two months more than the previous 66 years and 8 months.
2. Born in 1960 or later
Your FRA will remain at 67 – the last example of a gradual increase that began in 1983.
3. Were you born in 1965 or later?
According to some estimates, FRA could reach closer to 68 by 2033 – but this is still speculation.
If you’re turning 62 in 2025, know that your “normal” age for full benefits is now a bit older — 66 years and 10 months (if born in 1959) or 67 (if born in 1960 and later).
The Social Security Trust Fund (OASI) could be depleted by 2032-2033, but raising the retirement age helps ease the pressure.
Compared to benefit cuts or tax increases, raising the FRA is one of the less controversial ways to help stabilize the program.
3. How it affects your retirement strategy
If you claim before FRA
You can still start Social Security at age 62, but your benefits are permanently reduced. For example, someone born in 1959 loses about 30% if they claim at age 62 instead of FRA.
If you claim at or after FRA
Claiming at your FRA gives you 100% of your benefits.
Waiting after FRA increases your payment by 8% per year until age 70.
Mart’s tips before you claim
Double-check your birth year and FRA
Use SSA.gov or the “My Social Security” tool — don’t assume FRA is 67 for everyone.
City of Richland
Plan for temporary gaps
If you retire before FRA, create a safety net — advisors suggest saving enough to cover 18-24 months of living expenses.
Learn from Four Corners
Evaluate delayed benefits
If you can wait after FRA, delaying until age 70 could increase your monthly benefit by as much as 32%.
Consider working longer
Staying on the job after FRA can not only delay claiming but also increase your benefits through additional work credits.
Learn about future updates
Congress may propose further changes – don’t assume the FRA will remain stagnant after 2025.
Frequently Asked Questions
Q: Can I still retire at age 62?
Yes – but your benefits will be permanently reduced by about 30%.
Q: What if I was born after 1960?
Your FRA is still 67 after July’s increase.
Question: Should I delay benefits?
For many people, yes — delaying until age 70 increases benefits by 8% per year, thereby maximizing monthly payments.
Question: Will the FRA continue to increase after 2025?
Possibly. Some proposals suggest the FRA could reach 68 years by 2033, but nothing has been decided yet.
In short
Were you born in 1959? Your FRA is now 66 years, 10 months (July 2025).
Were you born after 1960? The FRA is still 67 years.
Claiming early (at age 62) leads to a permanent reduction; delaying benefits increases.
Check your FRA, build a financial buffer, and decide whether to claim early or late.
Be flexible – Social Security can evolve to ensure financial responsibility.
Planning for retirement can seem daunting—especially with changing rules. But with accurate information and a personalized strategy, you can face your golden years with confidence.