Overview
- The earnings test thresholds rise to $24,480 before full retirement age with $1 withheld for every $2 over the limit, and to $65,160 in the year you reach full retirement age with $1 withheld for every $3.
- Benefits reflect a 2.8% cost-of-living adjustment that takes effect now and typically shows up in January payments.
- A new additional senior deduction offers $6,000 per taxpayer age 65 or older from 2025 through 2028, phasing out at $75,000 of income for individuals and $150,000 for couples, with $12,000 available on joint returns.
- Claiming early at 62 provides more years of checks at a reduced rate, while waiting up to age 70 increases monthly payments under rules that set full retirement age at 67 for those born in 1960 or later.
- Advisers highlight household strategy factors such as survivor benefits, age gaps, work histories, and potential benefits for eligible minor or disabled children, noting few delay to 70 and many file at 62.