When Can I Collect Social Security If I Was Born in 1958?

Social Security benefits represent a significant component of retirement planning for many individuals. Understanding the specific rules and options available based on one’s birth year is important for maximizing these benefits. For those born in 1958, navigating the complexities of Social Security involves considering various claiming ages and their impact on monthly payments.

Full Retirement Age for Those Born in 1958

For individuals born in 1958, the Full Retirement Age (FRA) is 66 years and 8 months. This age is significant because it represents the point at which an individual is eligible to receive 100% of their Primary Insurance Amount (PIA). The PIA is the base benefit amount calculated by the Social Security Administration before any adjustments for early or delayed claiming. The PIA is determined by a worker’s Average Indexed Monthly Earnings (AIME). The AIME is then applied to a specific formula that includes “bend points” to arrive at the PIA.

Starting Benefits Before Full Retirement Age

Individuals born in 1958 have the option to begin receiving Social Security retirement benefits as early as age 62. However, choosing to claim benefits before reaching the Full Retirement Age results in a permanent reduction of the monthly payment. The reduction amount depends on how many months before FRA the benefits begin. For those born in 1958, the monthly benefit is reduced by 5/9 of 1% for each month up to 36 months prior to their FRA. If benefits start more than 36 months before FRA, an additional reduction of 5/12 of 1% per month applies for those extra months. For example, claiming at age 62 for someone born in 1958 results in approximately a 28.3% permanent reduction in benefits compared to their PIA.

Starting Benefits After Full Retirement Age

Delaying the start of Social Security benefits beyond the Full Retirement Age can increase the monthly payment. This increase comes in the form of Delayed Retirement Credits (DRCs). DRCs are added to an individual’s benefit amount for each month they delay claiming, up to age 70. For individuals born in 1958, benefits increase by 8% for each full year they delay claiming past their FRA. It is important to note that benefits stop increasing once an individual reaches age 70, as no further Delayed Retirement Credits are earned after this age.

Preparing to Apply for Social Security Benefits

Gathering specific information and documents can streamline the process. Individuals will need their Social Security number and an original birth certificate or a certified copy as proof of age. If born outside the United States, proof of U.S. citizenship or lawful alien status will be necessary. Documentation of past earnings is also required, such as W-2 forms or self-employment tax returns for the previous year. Those with military service before 1968 should have their U.S. military service papers ready. Additionally, bank account and routing numbers are needed for direct deposit of benefits. For those applying for spousal or divorced spouse benefits, marriage certificates or divorce decrees may be required.

Submitting Your Social Security Application

Once all necessary information and documents are compiled, there are several convenient methods for submitting a Social Security application. The most common method is applying online through the Social Security Administration’s website. This option allows applicants to proceed at their own pace and save their progress. Alternatively, individuals can apply for benefits by phone by calling the national toll-free service, or by visiting a local Social Security office in person. Scheduling an appointment beforehand is advisable for in-person visits to minimize wait times. After submission, retirement applications are typically processed within approximately six weeks.