What Is the Full Retirement Age if Born in 1956?

Social Security benefits are a significant component of many individuals’ retirement strategies. Understanding the Full Retirement Age (FRA) is central to maximizing these benefits. The FRA is the specific age at which an individual becomes eligible to receive 100% of their Primary Insurance Amount (PIA), the full monthly benefit calculated by the Social Security Administration based on their earnings history. This age varies depending on an individual’s birth year, directly impacting the amount received throughout retirement.

Your Full Retirement Age if Born in 1956

For individuals born in 1956, the Full Retirement Age is 66 years and 4 months. Reaching this age qualifies them to receive their entire calculated Social Security benefit, known as the Primary Insurance Amount (PIA). The Social Security Administration (SSA) determines the FRA based on birth year, with the age gradually increasing for those born after 1954.

The gradual increase in FRA begins with those born in 1955, rising by two months for each subsequent birth year until it reaches age 67 for individuals born in 1960 or later. Claiming benefits at this age ensures they receive their unreduced benefit.

Claiming Social Security Benefits Early

Individuals can begin receiving Social Security retirement benefits as early as age 62. However, claiming benefits before your Full Retirement Age results in a permanent reduction of your monthly benefit amount. This reduction is designed to account for the longer period over which benefits will be paid.

For the first 36 months before your FRA, the benefit is reduced by 5/9 of 1% for each month. If you claim more than 36 months early, an additional reduction of 5/12 of 1% applies for each month beyond the initial 36. For example, if your FRA is 66 and 4 months and you claim at age 62, your benefit would be reduced by approximately 26.67%. A $1,000 monthly benefit at FRA would be reduced to about $733. This reduction is permanent.

Claiming Social Security Benefits Late

Delaying Social Security benefits past your Full Retirement Age can significantly increase your monthly payment. This increase is earned through Delayed Retirement Credits (DRCs). For each month that benefits are delayed beyond your FRA, up to age 70, your monthly benefit amount grows.

For those born in 1943 or later, the annual increase from DRCs is 8%. This translates to a monthly increase of 2/3 of 1% (approximately 0.667%) for every month benefits are delayed. For instance, if your FRA is 66 and 4 months and you delay claiming until age 67, you would receive an estimated 105.3% of your monthly benefit. Delaying until age 70 could result in an increase of up to 29.3%. Benefits stop accruing DRCs once you reach age 70, with no further financial incentive to delay claiming beyond this age.