Many people want to plan for retirement. Those who may receive spouse’s benefits or who have worked want as much information as possible, to make sound decisions on when to retire or stop working.
The social security retirement age for full benefits is 67. However, a person can begin receiving benefits at age 62. It’s important to understand that the benefits will be reduced if payments are received at the earlier age. In fact, for every month before age 67, the percentage of social security a person is eligible for is reduced.
When an individual decides to retire and receive benefits at age 62, the monthly amount will be 70% of the full amount. This amount will last as long as the person receives social security benefits. The monthly amount increased as the age to begin receiving benefits increases. At age 65, an individual will receive 86.7% of the full monthly benefit for as long as benefits are received. It is important to remember that the percentage of the full benefit is determine, based on the number of months the individual begins receiving social security before age 67. In the end, the person will end up receiving the same amount of benefit over time.
A person can begin receiving a spouse’s benefits if he or she is at the eligible social security retirement age. The amount if benefits begin at age 67 is 50% of the spouse’s benefit. At age 65, the amount of the benefit is 41.7%. This benefit will continue as long as the individual remains eligible for social security.
If a person has any question about the estimated amount of social security he or she may receive upon retirement, an online calculator is available. It is based on personal information and the previous year’s earnings, so it is only an estimate. It can help with retirement planning.