The Fact
The 1983 Social Security amendments retained the ability to claim reduced retirement benefits at age 62 while raising full retirement age to 67. For workers whose full retirement age is 67, claiming at 62 can produce a permanent reduction of up to 30% compared with the full-retirement-age benefit.
What This Means
Age 62 still exists as an entry point, but it is not the same benefit paid five years early. For Gen X workers with a full retirement age of 67, retiring at 62 can mean accepting a substantially smaller monthly Social Security benefit for life.
Sources
- Social Security Administration, 1983 Amendments legislative history, retirement-age and early-retirement reduction provisions.