As of February 2026, nearly 57 million Americans received retirement benefits from Social Security, with the monthly payment for retired workers averaging $2,076.41.¹

How much will you get from Social Security once you leave the workforce and claim your retirement benefits? If you don’t know, you’re not the only one. According to a 2024 study by the National Institute on Retirement Security, about 24% of American pre-retirees are not entirely sure what they might receive from Social Security, while 22% said they have no idea at all.²
How does Social Security determine what your monthly payment will be?

The Social Security Administration (SSA) calculates your benefit using a formula based on your highest 35 years of earnings, adjusted for inflation. But when you choose to start your benefits also plays a key role in how much you receive each month. 

“The age you choose to claim your Social Security benefits is one of the most important financial decisions you’ll make as you transition out of the workforce,” says Jen Teague, NCOA Director for Health Coverage and Benefits. “That timing directly impacts how much you receive each month, and over the course of your retirement.”

When should you claim Social Security retirement benefits?

Here are five key things to know:

1. Claiming too early can cost you. Filing for Social Security as soon as you become eligible reduces your monthly payment. If you start at the earliest age of 62, your benefit could be reduced by up to 30%. For example, if your full benefit at age 67 is $1,200 per month, claiming at 62 could lower it to about $840 per month—and that impact lasts for the rest of your life. Drawing benefits too early is widely known as one of the biggest Social Security mistakes retirees make.  
2. Delaying your claim will increase your benefit. On the other hand, waiting longer locks in a higher monthly amount that can help cover rising costs later in retirement. For each year you wait beyond full retirement age (FRA) up to age 70, your benefit grows—often by about 8% per year. These delayed retirement credits can greatly boost your monthly income and improve your long-term financial security, especially if you live into your 80s and beyond. After age 70, there’s no additional financial benefit to waiting, so it usually makes sense to claim by then. 
3. Continuing to work in retirement can also reduce your payment, depending on when you claim. If you claim Social Security benefits before FRA and keep working, your payment will be reduced (by $1 for every $2 you earn) if your wages exceed a certain limit. In 2026, that limit is $24,480. Note that this isn’t permanent; your benefit is recalculated at FRA, which can increase your future monthly payments.
   
   In the year you reach full retirement age, your benefits are reduced by $1 for every $3 you earn above a higher earnings limit. But only the income you earn before the month you reach full retirement age is counted. For instance, if you reach full retirement age in 2026, the earnings limit for those months is $65,160.
   
   Once you reach FRA, you can earn any amount from work without reducing your Social Security benefit. Keep in mind, though, that your benefits could still be subject to income tax depending on your total income.
4. There is a break-even point to consider. The Social Security “break-even age” is the point where the total benefits you receive from claiming later equal what you would have received by claiming earlier. If you live beyond that age, delaying your claim typically results in more lifetime income; if not, claiming earlier may yield more overall. Since no one knows their exact lifespan, longevity risk (the chance of outliving your savings) often makes delaying benefits a sound strategy. This is especially true for people in good health or with a family history of living longer.
5. Delaying your benefits can help protect your spouse’s financial security. Many married couples don’t realize how closely their claiming decisions are connected; about one-third aren’t sure what survivor benefits their spouse would receive. This is important to consider, particularly when one spouse has earned significantly more money over their lifetime. In those cases, waiting longer to claim can increase the survivor benefit your spouse may rely on if you pass away.

Is there a way to estimate my Social Security benefit at different ages?

The SSA offers an online benefits estimator tool that gives you a personalized estimate of your future retirement benefits.

It uses your actual earnings record (reported to Social Security) to project how much you could receive at different claiming ages—such as 62, your full retirement age, and 70. 

To access this tool, you must first create or log in to your my Social Security account on the SSA website. In addition to estimates, your my Social Security account lets you see your earnings history and check your eligibility for retirement and other benefits.

Get more tips for maximizing your Social Security benefit. 

Sources

1. Social Security Administration. Monthly Statistical Snapshot. February 2026. Found on the internet at https://www.ssa.gov/policy/docs/quickfacts/stat_snapshot/

2. National Institute on Retirement Security. Americans' Views of Social Security. July 2024. Found on the internet at https://www.nirsonline.org/wp-content/uploads/2024/07/FINAL-Views-on-SS-July-2024-1.pdf