Social Security's Claiming Rules Shift As Rule Change Takes Effect in 2026

Making strategic decisions about Social Security benefits is vital to retirement security, as these benefits provide at least 50% of income for around four in 10 seniors 65 and over -- and are an important income source for other retirees as well.

Knowing the rules for claiming benefits is essential to making the right choices, and that can be easier said than done since rule changes put in place a long time ago have just taken effect in recent years.

These rule changes have a profound impact on the age when you should claim your Social Security benefits if you want the most income possible.

Here's what you need to know about a law passed decades ago that will change the Social Security rules for future retirees in 2026 and beyond.

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Social Security reforms from the 1980s are having an impact today

While Social Security was created in 1935, lawmakers in the 1980s made some major changes to the benefits program because it was facing financial trouble.

Namely, lawmakers passed Social Security reform legislation that changed when you could claim your full Social Security benefit.

When Social Security was originally created, everyone could get the standard benefit at 65. But since the program was running out of money, lawmakers changed the full retirement age, moving it later. That meant retirees had to wait longer to claim their benefits or accept cuts resulting from early filing penalties.

Lawmakers phased in their reforms, though, so current retirees in the 1980s didn't face a later Full Retirement Age. Only future retirees did.

The changes to the rules began taking effect in recent years, and one big change is happening in 2026 that is going to affect when all future seniors can claim their full Social Security benefit.

Here's how the rules are changing in 2026

The reforms passed in the 1980s first began to take effect in 2008. That's because, based on the reforms, anyone who was born in 1943 or later had a full retirement age of 66 instead of 65.

So, someone born in 1942 would have turned 65 in 2007 and would have been able to claim the full Social Security benefit at the customary age of 65. But someone who was born in 1943 would have turned 65 in 2008 and would not have been able to start Social Security right away without penalties. That person would have had to wait a whole additional year, until 2009, when turning 66 and becoming eligible for the full benefit.

FRA stayed paused at 66 for a while before moving to 66 and two months for anyone born in 1955. And for anyone born after 1955, FRA has been moving back each year by two months at a time. However, in 2026, that change is happening for the last time.

In 2026, anyone who is turning 66 will have a full retirement age of 67. And FRA is now frozen at that age, so anyone turning 66 any time in the future will also have the same FRA. This is a major milestone, because the reforms put in place in the 1980s have now been fully executed, and all future retirees will get to claim benefits at 67 unless lawmakers change the law again.

What does this 2026 Social Security rule change mean for you?

So how does this affect seniors claiming Social Security?

The bad news is, those turning 66 next year will once again have to wait a little longer than their older peers to claim Social Security to avoid penalties. But the good news is, future retirees won't keep seeing their claiming age move later.

Retirees should be aware that if they're turning 66 next year, they have to wait that extra full year until 67 to avoid shrinking their benefits. Delay can make good sense, since Social Security benefits are protected against inflation and guaranteed for life, so maxing them out can be smart. Studies have also shown that later claims often result in more lifetime income.

Of course, that means seniors will need to factor in this delay as part of their retirement planning. Waiting until 67 to claim Social Security could mean working an extra year. Or it could mean taking money out of retirement plans to support yourself as you wait to claim retirement benefits.

If you have plenty of funds in your 401(k) or IRA, this may not be a big deal -- but it's still something to prepare for, as most people need Social Security and savings to make ends meet.

The good news is, being aware of the rule change can help future retirees, including those planning on leaving the workforce soon, to understand when their FRA is and make the right Social Security choice based on this information.

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