Will waiting 6 months past FRA give any delayed retirement credits for Social Security?
I'm trying to figure out the best time to claim Social Security. I know about delayed retirement credits and how they increase benefits by roughly 8% per year if you wait past full retirement age. My sister was born in 1958 and her FRA is January 2025. She's debating whether to file right at her FRA or wait a bit longer. Here's my question - if she waits just 6 months past her FRA (so July 2025), would she get ANY increase at all? I understand waiting a full year would give her around 8% more, but what about half a year? Does Social Security prorate the increase monthly, or do you only get credit for full years? She's trying to balance maximizing her benefit with some health concerns, so even a small increase for waiting those 6 months might make it worthwhile for her situation. Thanks for any insights!
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Marcus Williams
Yes, Social Security does prorate the delayed retirement credits on a monthly basis! Your sister would get approximately 4% increase (about 2/3 of 1% per month) if she waits 6 months past her FRA. The exact calculation is 8% ÷ 12 = 0.667% per month. So waiting even a few months can help increase her benefit permanently.
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Jessica Suarez
•That's great news! I wasn't sure if it had to be in full-year increments. This gives her more flexibility with her decision. Thanks for clarifying!
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Lily Young
My husband waited 9 months after his FRA and got a nice little boost. its definately prorated by month not just yearly. But remember she only gets the increase for the months shes alive to collect! So health is important consideration.
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Kennedy Morrison
•That's actually not entirely accurate. While health is a consideration, the break-even point is typically around age 80-82. Also, if she's married, her spouse could potentially benefit from her higher benefit amount if she passes away first. So there are multiple factors beyond just how long she'll collect.
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Wesley Hallow
Just to add my two cents - Social Security definitely does calculate DRCs (Delayed Retirement Credits) monthly. For someone born in 1958, it's exactly 2/3 of 1% per month, so 6 months = 4% increase. This would be permanently added to her benefit amount. One thing to consider though - when she does decide to file, make sure she doesn't wait too long to actually submit the application. Benefits can only be paid retroactively for up to 6 months, and only for months after FRA. If she decides to file after waiting those 6 months but then delays submitting the application, she could miss out on some payments.
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Jessica Suarez
•Thanks for that additional tip about filing! I'll make sure to remind her not to delay the actual application once she decides. Would that retroactive payment come as a lump sum if she applied, say, 2 months after deciding to file?
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Justin Chang
For what it's worth, I waited 8 months after my FRA before filing and SSA calculated my increase perfectly - got about 5.3% more. BUT the SSA phone lines were HORRIBLE when I needed to ask questions about how this would affect my other benefits. Spent 3 days trying to get through! I eventually used Claimyr (claimyr.com) to get connected to an agent without the wait. They called me back when an agent was available. Saved me hours of frustration. They have a video showing how it works: https://youtu.be/Z-BRbJw3puU Good luck with your sister's decision!
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Jessica Suarez
•Thanks for sharing your experience! My sister will probably have questions too, so I'll check out that service. Did you find the SSA agents helpful once you actually reached them?
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Justin Chang
•Yes, the agents were actually very knowledgeable once I got through to them. They explained exactly how my DRCs were calculated and answered all my questions about how my Medicare premiums would be affected. It was just the getting through part that was a nightmare before using that service.
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Grace Thomas
my uncle waited 4 month after FRA and SSA messed up his payments BIG TIME!!! took like 5 calls to fix it and they still got it wrong. make sure she checks her first payment carefully!!!!
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Marcus Williams
•It's always good to verify your benefit amount, but most calculations are handled automatically by SSA's systems these days. Your uncle's situation was likely an exception rather than the rule. Still, checking the math is always smart.
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Hunter Brighton
Something else to consider - if your sister is still working, there's no earnings limit after FRA. So she could file for benefits in January 2025 and keep working with no reduction in benefits regardless of how much she earns. That might be better than waiting depending on her situation.
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Jessica Suarez
•She's actually planning to stop working in March 2025, so that's good timing. So if I understand correctly, if she works January-March while collecting, there would be no reduction to her SS benefits since she's at FRA?
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Hunter Brighton
•Exactly right. Once she reaches her FRA in January 2025, the earnings test no longer applies. She can earn any amount from January onward without any reduction to her Social Security benefits. This is different from before FRA, where benefits would be reduced if earnings exceeded certain limits.
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Kennedy Morrison
I'm surprised no one has mentioned that DRCs only accumulate until age 70. After that, there's no benefit to waiting longer. For someone with an FRA of January 2025 born in 1958, they would be able to accumulate DRCs until January 2029 (when they turn 70). Just something to keep in mind for the complete picture.
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Wesley Hallow
•Excellent point! The maximum benefit increase would be 32% for someone with an FRA of 66 and 8 months (for those born in 1958) who delays until age 70. After 70, there's absolutely no advantage to delaying further.
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Lily Young
I WISH someone told me about retractive benefits before!!! I waited 8 months after my FRA thinking I had to choose an exact date and I picked 8 months later... then I filed 2 months after THAT so I missed 2 months of payments I couldve gotten! The SSA doesn't volunteer this info you have to know to ask!!!
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Marcus Williams
•This is why it's so important to understand all the filing rules. For anyone reading this thread: after FRA, you can request retroactive benefits for up to 6 months (but not before your FRA). However, requesting retroactive benefits means you'll lose the DRCs for those months. It's a trade-off between getting a lump sum payment now versus a higher monthly benefit forever.
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