When Is Full Retirement Age for Someone Born in 1959?
Understand your Full Retirement Age if born in 1959 and how it shapes your Social Security benefit strategy.
Social Security retirement benefits provide a source of income for many individuals during their later years. Understanding Full Retirement Age (FRA) is an important aspect of financial planning for retirement. The age at which one chooses to begin receiving these benefits affects the monthly amount received throughout retirement. This benchmark helps individuals make informed decisions about their financial future and optimize their Social Security income.
Determining Full Retirement Age
For individuals born in 1959, the Full Retirement Age is 66 years and 10 months. This is the age at which a person becomes eligible to receive 100% of their Primary Insurance Amount (PIA), which is the benefit calculated based on their earnings record.
For those born before 1937, the FRA was 65. However, amendments introduced in 1983 gradually increased this age for individuals born after 1937. For those born between 1955 and 1959, the FRA incrementally increases by two months for each successive birth year, leading to the 66 years and 10 months for 1959 births.
Impact on Social Security Benefits
Claiming Social Security benefits at different ages relative to one’s Full Retirement Age (FRA) impacts the monthly payment. Individuals can start receiving benefits as early as age 62, but this results in a permanent reduction of their monthly amount. The reduction rate is approximately 5/9 of 1% for each month claimed before FRA, up to 36 months, and 5/12 of 1% for each month beyond that, potentially leading to a reduction of nearly 30% for someone with an FRA of 67 claiming at age 62. For someone born in 1959, claiming at age 62 would result in a reduction of approximately 29.17% from their full benefit.
Conversely, delaying the start of benefits beyond the Full Retirement Age can lead to a permanent increase in monthly payments. The Social Security Administration provides Delayed Retirement Credits (DRCs) for each month benefits are delayed past FRA, up to age 70. For individuals born in 1943 or later, these credits increase the monthly benefit by 2/3 of 1% per month, equating to an 8% annual increase.
These increases cease once an individual reaches age 70. The Full Retirement Age of 66 years and 10 months for those born in 1959 is the pivotal point for calculating these reductions or increases, directly affecting the lifetime benefit amount an individual will receive.
Accessing Your Social Security Information
Individuals can access their personal Social Security information, including earnings records and personalized benefit estimates, through the Social Security Administration’s (SSA) online portal. Creating a “my Social Security” account on the SSA website (www.ssa.gov/myaccount) is a secure and convenient way to view this data. This online account allows users to review their personal earnings record, which is crucial for verifying the accuracy of reported wages that determine future benefits.
The portal also provides estimated future benefits at various claiming ages, including the Full Retirement Age, and allows access to benefit statements. For those who prefer alternative methods, information can also be obtained by contacting the SSA directly via phone or by visiting a local Social Security office.