So you’ve reached retirement, or at least you’re thinking ahead to what it may be like. While you might not be receiving your Social Security benefits yet, it is a good idea to understand them now as part of your financial planning. Here are some details to get you started.
Reaching Full Retirement Age
There are several approaches you can take in deciding when to start receiving your Social Security retirement benefit. To receive the full retirement benefit, known as your Primary Insured Amount (PIA), you can begin to draw from your Social Security benefit at your full retirement age (FRA), which is based on your birth year and is age 67 for most people. You may alternatively decide to draw your benefit early or wait until after you reach your FRA.
- Early withdrawal: If you draw your benefit before your FRA, you will have a permanently reduced amount based on the month and year you start your benefit, which will also affect the benefit for your surviving dependents.
- FRA withdrawal: If you begin to draw your benefit when you reach your FRA, you will receive your Primary Insured Amount benefit.
- Withdrawal after your FRA: If you wait to draw your benefit after your FRA, up to the age of 70, you will receive Delayed Retirement Credits (DRC) that will applied to your PIA. This will be a permanent increased amount of Social Security retirement benefit.
Tracking Your Social Security Benefits
Did you know you can track your Social Security benefits online, whether you are currently receiving benefits or not? Visit https://www.ssa.gov/myaccount/ to create a my Social Security account.
With an online account, you can request a replacement Social Security card; track and verify earnings and get estimates about future benefits; check the status of your application, if you are an SSI/SSDI applicant; change your contact or direct deposit information; and obtain a letter with proof of your benefits. There is even a resource to calculate benefits for a current or former spouse.
More to Consider
Retiring from the military can be complex, so you’ll also want to consider these topics:
If you have questions, please contact an AAFMAA (American Armed Forces Mutual Aid Association) Member Benefits Representative at 888-541-3705 select option 2, then option 2 again or [email protected].