Social Security & Retirement Benefits

Benefits can be claimed as early as 62 (with a permanent reduction of up to 30%) or delayed up to age 70 (earning 8% per year in delayed credits after full retirement age). Delaying typically maximizes lifetime income if you live past the break-even age (roughly 80–82). Married couples should coordinate claiming strategies — often the higher earner delays to 70 to maximize survivor benefits.

Full retirement age (FRA) is 66–67 depending on your birth year. Those born in 1960 or later have an FRA of 67. At FRA, you receive 100% of your calculated benefit. Claiming before FRA permanently reduces benefits; claiming after FRA (up to age 70) permanently increases them through delayed retirement credits.

Yes, with important details. Before your full retirement age, Social Security withholds $1 in benefits for every $2 earned above the annual limit ($22,320 in 2024). In the year you reach FRA, the threshold increases. After reaching FRA, you can earn any amount without benefit reduction.

Up to 85% of Social Security benefits are subject to federal income tax if your combined income exceeds thresholds ($34,000 single / $44,000 married filing jointly). Below $25,000 single / $32,000 married, benefits are tax-free. State taxation varies — about 40 states exempt Social Security from state income tax.