The Average Social Security Benefit for Ages 62, 65, and 70

Understanding when to sign up for Social Security can be tricky, especially since you rely on it for retirement. Estimating your potential benefits isn’t straightforward, which complicates figuring out how much you need to save on your own.

Fortunately, the Social Security formula has several factors that can help maximize your monthly benefits. One key element is the age at which you apply. To illustrate this, let’s compare the average monthly benefits for those who are 62, 65, and 70 years old.

How application age influences Social Security benefits

You can start claiming Social Security at 62, but if you want to receive the full benefit based on your work history, you’ll need to wait until you reach your full retirement age (FRA). This age varies based on when you were born.

Claiming Social Security before reaching your FRA results in a reduction of your check. For the first 36 months before your FRA, you lose 5/9 of 1% for each month you apply early, which equates to about 6.67% annually. If you sign up more than three years early, the cut increases to 5/12 of 1% each month beyond that, totaling about 5% annually.

So, let’s say your FRA is 67 and you apply at 62; you could see a reduction of up to 30%. Contrary to common belief, this reduction is typically permanent, though you may see a slight annual increase from cost of living adjustments.

If you decide to wait beyond your FRA, your monthly benefit will grow by two-thirds of 1% for every month you delay, reaching a maximum increase of 8% per year until you turn 70. For someone whose FRA is 67, this can mean an increase of about 24% in their monthly check.

Average benefits for 62, 65, and 70-year-olds

When you look at the average amounts received at different ages, the disparities become clear. As of December 2024, the average monthly benefit across all Social Security recipients was $1,975. However, early claimants generally received much lower amounts.

A typical 62-year-old might take home around $1,342 monthly, while a 65-year-old would average about $1,611. The trend shows that older claimants continue to receive higher benefits, peaking at an average of $2,148 monthly by age 70.

If you assume a life expectancy of 85, the average lifetime benefits would total approximately $370,392 for a 62-year-old claimant, and around $386,640 for both a 65-year-old and a 70-year-old claimant.

That said, waiting to claim Social Security might not always be the best choice. Your personal financial situation plays a crucial role. If you’re unable to work and don’t have significant savings, applying early might be necessary for financial stability, even if it means lower lifetime benefits.

Additionally, life expectancy factors in here. For example, if you have a terminal illness, claiming early could provide more lifetime benefits. If the life expectancy were 75 instead of 85, a 62-year-old every month may total $209,352, while a 70-year-old would only get about $128,880.

In general, if you can afford to delay claiming and anticipate living into your 80s or beyond, enrolling at your FRA or later could be beneficial. But if circumstances don’t allow for that, or if your time may be limited, claiming early might be the way to go.