8.3.2 SS Retirement Benefits
Retirement benefits paid by Social Security are paid monthly to fully insured workers and their families. Note that the full retirement age for receiving SS retirement benefits will gradually increase, eventually reaching age 67 for individuals born after 1959.
Worker's Retirement Benefit
- At age 66 (full retirement age [FRA] through 2016) - 100% of their PIA
- Age 62 (early retirement) - Permanently reduced benefits
- After age 66 (delayed retirement) - Slightly greater benefits
Spouse's Benefit
- At FRA - 50% of the worker's PIA
- At age 62 - Permanently reduced benefits
- Regardless of age with a child under age 16 (or age 22 if disabled) who is a dependent of the worker - 50% benefit
Child's Benefit
- Unmarried and under age 18 - 50% of the worker's PIA
- Disabled before age 22 - 50% benefit will continue indefinitely
Maximum Retirement Benefits
The maximum family benefit applies (see 8.3.1, SS Death Benefits, Maximum Survivor Benefits).
Earnings Test
At FRA, eligible workers can continue working and receive Social Security benefits with no limit on earnings. However, a reduction will apply if the worker chooses early retirement (before age 66).
- Before reaching FRA - For every $2 earned above the annual limit of, $1 in benefits will be deducted.
- At FRA - For every $3 earned above the annual limit, $1 in benefits will be deducted.
