How It Works
- Workers and employers both pay taxes to fund benefits for future retirees. The current tax rate is 6.2% for the employer and 6.2% for the employee.
- These tax deductions appear on your pay statement as OASDI, which stands for Old-Age, Survivors and Disability Insurance program.
Social Security Snapshot
Who is eligible?
When you work and pay Social Security taxes, you earn “credits” toward Social Security benefits. The number of credits you need to qualify for retirement benefits depends on when you were born. If you were born in 1929 or later, you need 40 credits (10 years of work).
What are the benefits?
- Full Social Security retirement benefits can begin as soon as you reach your “full retirement age,” which depends on your year of birth.
|
Age to receive full Social Security benefits |
|
|
Year of birth |
Full retirement age |
|
1943-1954 |
66 |
|
1955 |
66 and 2 months |
|
1956 |
66 and 4 months |
|
1957 |
66 and 6 months |
|
1958 |
66 and 8 months |
|
1959 |
66 and 10 months |
|
1960 and later |
67 |
|
NOTE: People born on January 1 of any year, refer to the previous year. |
|
- Early Social Security retirement benefits can begin as early as age 62, but the monthly benefit will be reduced. The earlier payments begin, the greater the reduction.
- Delayed retirement is when you choose to keep working beyond for your full retirement age. In that case, your monthly benefit amount can increase.
What to do
Create a My Social Security Account
Creating a free, secure account gives you the control to:
- Check your Social Security statement
- Change your address
- Verify your reported earnings
- Estimate your future benefits
- Use personalized tools
- Request a replacement Social Security card
- Manage benefits you already receive
Apply for Social Security Retirement Benefits
When it’s time, you can apply for retirement benefits:
- Online at ssa.gov
- By phone at 1-800-772-1213 Monday through Friday, 7 a.m. to 7 p.m.
In person by appointment with a local Social Security office
