Many Americans rely on Social Security retirement benefits to support them financially after they stop working. But a big number—43% to be exact—make a major mistake when choosing when to claim their benefits. This decision can impact how much money they receive for the rest of their lives.
Let’s understand what this mistake is, what the correct claiming strategy could be, and how much you can expect to receive in May 2025 based on the new changes by the Social Security Administration (SSA).
Social Security Benefits Adjusted for 2025
The SSA has updated Social Security benefits in May 2025, adding a 2.5% Cost-of-Living Adjustment (COLA). This increase is meant to help retirees keep up with rising prices due to inflation. Over 70 million Americans will see their benefits increase slightly this year.
But not everyone gets the same amount. The exact figure depends on several things:
- How much you earned in your 35 highest-income years
- The age at which you choose to claim your benefits
- Your marital or family status
How Much Can You Receive? Maximum Social Security Benefits in 2025
The highest possible Social Security benefit in 2025 changes based on when you claim:
If you claim at age 62, you’ll get $2,831 per month (with a 30% early retirement reduction).
If you wait until your Full Retirement Age (FRA)—between 66 and 67—you’ll get $4,018 per month.
If you delay until age 70, your monthly benefit jumps to $5,108, the maximum possible.
Once you hit 70, there’s no benefit to waiting longer, as the payment won’t increase further.
Despite these options, only 6% of Social Security recipients get the maximum monthly benefit. On average:
- A single retiree receives $1,980.86/month
- A retired couple gets $3,089/month
- Widows with two children average $3,761
- Families of people with disabilities receive around $2,826
The Common Mistake: Claiming Too Early
A huge number of Americans—43%—start claiming their benefits as early as age 62. While it might seem like a smart choice to get money sooner, this decision permanently reduces monthly payments.
In fact, delaying benefits until age 70 can increase your payments by 76% compared to starting at age 62.
Why Do People Claim Early?
Many people:
- Don’t fully understand how the system works
- Are worried about not living long enough to enjoy higher benefits
- Need money urgently and can’t afford to wait
However, if you are in good health and can continue working, waiting longer can significantly improve your financial future.
Who Qualifies for Social Security in 2025?
To get retirement benefits, you must:
- Earn 40 work credits, which usually means 10 years of work
- Earn at least $1,810 per credit in 2025
SSA calculates your benefit using your 35 highest-earning years. To get the maximum benefit, you need to earn up to the taxable wage limit ($176,100) during those years.
Other benefits, like disability (SSDI) and survivor benefits, follow different rules. In all cases, proper documentation is required.
Also, if you work while claiming benefits before FRA, and earn more than $23,400/year, your benefits may be temporarily reduced.
Social Security is a key source of income for millions of Americans in retirement. However, many make the mistake of claiming benefits too early, leading to smaller monthly checks for the rest of their lives. In 2025, the SSA has introduced a 2.5% COLA increase, but the best way to boost your monthly payment is by understanding the right time to claim.
Delaying retirement—even just a few years—can make a big difference in your financial comfort later in life. Always consider your health, financial needs, and life expectancy before deciding when to claim. If in doubt, talk to a trusted financial advisor.
