Social Security's full retirement age is increasing in 2025: What to know

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Ramsey Solutions personality Jade Warshaw breaks down how to get the most out of your Social Security check and more on ‘The Bottom Line.’

Social Security's "full retirement age" is set to increase next year, meaning that those nearing retirement will have to hold off a little longer before they can claim a larger benefit.

The full retirement age (FRA) for Social Security was 65 when the program was created in the 1930s, but reforms made in 1983 gradually increased the FRA from age 65 to 67 in two-month increments over a 22-year period that started for those who turned 62 in 2000.

Next year, the FRA will rise to 66 years and 10 months for people born in 1959. They would start to qualify for their full Social Security benefits starting in November 2025.

Retirees can begin collecting their Social Security benefits before they reach the FRA, with the minimum age to do so being 62. However, retirees who claim early will have their monthly benefit permanently reduced by as much as 30% depending on how early they claim.

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Social Security's full retirement age will rise to 66 years and 10 months in 2025. (Kevin Dietsch / Getty Images)

Americans can also delay claiming Social Security benefits and be rewarded for doing so, as the program offers a bonus of up to 8% for waiting until the age when they're eligible to receive the maximum benefit.

The increase in the FRA coming in 2025 is the next-to-last age change that will occur under the Social Security reform law that was enacted in 1983, although that could change with future reforms.

The final change will apply to workers born in or after 1960 and will require that those workers wait until they turn 67