Age of retirement evolution Social Security benefits are based on expected lifespan, which can vary annually, under the 1983 law. The full retirement age for 1958 births is 66 years and 8 months.
The 1959 generation must wait until 66 years and 10 months to receive full benefits. In 2025, people born between May 2, 1958, and Feb. 28, 1959, will receive full retirement benefits. The full retirement age for those born after 1960 is 67.
Early/late retirement options The new law raises the minimum age for full benefits, but people can still get them at 62. However, early retirement reduces income. Retirees who wait until 70 receive a higher monthly payment. This flexibility lets people customize retirement plans to their financial and life needs.
Adjustments for cost of living Social Security benefits are also affected by the inflation-based cost-of-living adjustment (COLA). These changes help retirees keep their purchasing power in the face of rising living costs, according to Blavity.
The effect on Black communities Black communities, which depend on Social Security for retirement income, will be deeply affected by these changes.
Black Americans must stay informed and plan for these changes due to their economic history. Learning about the new retirement age and COLA adjustments can help people make better financial decisions.
Future planning As 2025 approaches, people, especially Black people, must learn about Social Security benefits.