Social Security Sets Full Retirement Age at 67 for 1960+ Births in 2026

Q: With the retirement age at 67, what happens to your benefits if the Social Security trust fund runs low by 2034?

If the Social Security trust fund is depleted around 2034 and Congress does not act, your benefits would not stop, but they would be cut automatically. Social Security would then be able to pay only what it collects in ongoing payroll taxes, which current projections put at roughly 76% to 83% of scheduled benefits. For retirees, that means an across-the-board reduction of about 17% to 24%, depending on which trust fund measure is used and the exact year. For the retirement program alone, some estimates have pointed to a cut closer to 22% to 24%. For the combined trust funds, the reduction is often estimated nearer 17%. Your full retirement age being 67 does not protect you from that risk. Reaching 67 still determines when you qualify for 100% of your scheduled benefit under current law, but if the trust fund reserves are exhausted, the amount actually paid could be lower than that scheduled figure. In practical terms, someone expecting a $2,000 monthly benefit could see it fall to roughly $1,520 to $1,660 if no fix is enacted. Benefits would continue because payroll taxes would still be coming in, but checks would be smaller. Congress could still prevent that outcome by changing taxes, benefits, or both. Historically, lawmakers have stepped in before insolvency forced abrupt cuts, but no final fix is in place yet.

2 articles · Updated · eciks.org · Jun 23

Workers born in 1960 or later now reach Social Security full retirement age at 67, the final step in a decades-long increase completed in 2026.
The change closes a 33-year phase-in from the 1983 amendments, which raised the age from 65 to 67 to bolster the program as Americans lived longer.
Claiming at 62 still remains possible, but monthly benefits are cut by about 30% versus waiting until 67; delaying past that adds 8% a year until age 70.
The 2026 earnings limit for beneficiaries below full retirement age is $24,480, with $1 withheld for every $2 earned above it, while Medicare eligibility stays at 65.