How Many Months In Advance Should You Apply For Social Security Benefits?

Imagine increasing your monthly Social Security check by over 75% by changing when you decide to claim your benefits. That’s the power of optimizing this critical piece of your retirement income plan.

Social Security benefits can be claimed anytime between age 62 and 70. But the timing of your application greatly impacts the size of your monthly benefit check. For example, claiming at age 70 instead of 62 means your benefits will be almost 77% higher—for the rest of your life!

So it pays to get the timing right. One out of three people claims benefits as soon as possible at age 62. While that might be the best move for some, many could significantly boost their retirement income by waiting longer. 

Of course, deciding when to claim Social Security is a complex and highly personal choice; there’s much to consider. Don’t worry— this article will break down all those factors so you can zero in on the best claiming age for your unique situation.

But once you’ve picked your optimal claiming age, the natural next question is: how many months in advance should you submit your application? After all, you don’t want to leave money on the table by delaying too long, but you also don’t want to cut it too close and risk an income gap.

Can You Increase Social Security Benefits by 75%? 

You can increase your monthly Social Security check by over 75% by changing when you decide to claim your benefits. This increase is achieved by delaying the age at which you start receiving your Social Security benefits from the earliest eligibility of 62 up to 70. Here’s how it works:

• Early Claiming at 62: If you start claiming Social Security benefits at age 62, your benefits will be reduced compared to what you would receive if you waited until your full retirement age (FRA), which is 66 or 67, depending on your birth year.
• Full Retirement Age (FRA): This is the age at which you are entitled to receive your total Social Security benefit amount. For people born between 1943 and 1954, the FRA is 66, gradually increasing to 67 for those born in 1960 or later.
• Delayed Retirement Credits: If you delay claiming your benefits beyond your FRA, you earn delayed retirement credits, which increase your benefit amount by approximately 8% for each year you delay up to age 70. If your FRA is 66 and you delay claiming until age 70, your benefits could be about 32% higher than at your FRA.
• Maximum Increase: If you claim benefits at age 70 instead of 62, your benefits can be about 76% higher than if you had claimed at age 62. This substantial increase is due to avoiding the early claiming reduction and accruing delayed retirement credits.

By strategically delaying the start of your Social Security benefits, you can significantly increase your monthly payments by more than 75% compared to claiming at the earliest possible age. This decision should be based on individual circumstances, including health, financial needs, and life expectancy.

How to Apply for Retirement

To apply for retirement, start by determining your eligibility based on your age and work history. Contact your country’s social security office or retirement agency, such as the Social Security Administration (SSA) in the U.S., to understand the benefits you qualify for. Gather necessary documents like your Social Security number, birth certificate, employment history, and bank account details. 

You can apply online, by phone, or in person. 

Complete the application form and submit the required documents. Once approved, you’ll receive monthly benefits. It is recommended that you apply three months before you want your benefits to start to ensure a smooth transition into retirement.

What to Know Before You Apply for Social Security Benefits

Before we dive into exactly how many months in advance to apply, let’s cover some basics about the Social Security application process.

Minimum Age to Claim Retirement Benefits

The minimum age to claim Social Security retirement benefits is 62. However, claiming at 62 means you’ll receive a reduced benefit compared to waiting until your full retirement age.

Full Retirement Age for Social Security

• If you were born between 1943 and 1954, your full retirement age is 66.  
• The full retirement age increases gradually if you were born from 1955 to 1960.
• If you were born in 1960 or later, your full retirement age is 67.

You can start receiving benefits at any point between age 62 and 70. But the earlier you claim before your full retirement age, the more your monthly benefit will be reduced. We’ll talk more about how that works in a later section.

3 Ways to Apply for Social Security

When you’re ready to start benefits, you have three options for submitting your application:  

1. Apply online at www.ssa.gov.
2. Call Social Security at 1-800-772-1213 to apply by phone. 
3. Apply in person at your local Social Security office.

Many people find applying online the most convenient option. You can start your application and save your progress at any point, so you don’t have to complete it all in one sitting. According to the SSA, the application can be completed in 15 minutes.

However, if you’re uncomfortable filling out forms online or have questions you need answered, applying by phone or in person may be better. Appointments are recommended if you’re applying in person at a Social Security office.

Information Needed for Your Social Security Application

Whichever method you choose, you’ll need to provide a significant amount of personal information for your application to be processed:

• Birth certificate or other proof of birth.
• Proof of U.S. citizenship or lawful alien status. 
• Military service papers (if applicable).
• W-2 forms and/or self-employment tax returns for last year.
• Bank information for direct deposit of your benefits.

If you’re applying for spousal or survivor benefits or benefits for dependents, you’ll also need to provide documentation such as marriage certificates, divorce decrees, and children’s birth certificates.  

It’s a good idea to gather this information before starting your application so you won’t have to scramble to find it in the middle of the process. In a later section, we’ll discuss exactly how far before your target claiming date you should start this prep work.

6 Key Factors That Impact Your Social Security Claiming Decision

Deciding when to claim your Social Security benefits is one of the most important—and complex—retirement planning choices you’ll make. While your monthly benefit amount is based on your 35 highest earning years, the age at which you begin collecting benefits also has a huge impact. Here are six key factors to consider.  

1. How Claiming Age Affects Your Benefit Amount

As mentioned earlier, you can begin collecting Social Security retirement benefits between age 62 and 70. However, your full benefit amount is only available at your full retirement age (66-67). If you claim earlier, your benefits will be permanently reduced. Claim later, and you’ll get a boost.

Specifically, claiming at 62 means a 25-30% reduction in your monthly payment, depending on your birth year. For someone with a full benefit amount of $1,000, claiming at 62 would drop that to $700-750.  

On the flip side, for each month you delay benefits past your full retirement age, you get an extra 2/3 of 1%. That adds up to an 8% increase for each full year you wait up until age 70.

So if your full benefit at age 67 would be $1,000, waiting to claim until 70 would net you $1,240 per month—for life. Over a 20-30 year retirement, that higher monthly income can add up.  

2. Your Health and Expected Longevity

Given the permanent impact claiming age has on benefit size, it’s important to consider how long you might need your retirement income to last. Excellent health and longevity in your family might argue for delaying benefits to maximize your cumulative lifetime income.

On the other hand, if you face health challenges that shorten your life span, claiming earlier to start the income stream makes sense. 

Of course, none of us has a crystal ball. But being realistic about your anticipated longevity is a key data point in optimizing your Social Security claiming strategy.

3. Coordinating Benefits With Your Spouse  

If you’re married, you must also factor in your spouse’s claiming decision, benefit amount, and life expectancy. Married people can use creative claiming strategies to maximize their household’s benefits.

For example, the lower-earning spouse could claim their own benefit early while the higher-earning spouse delays. That would bring some income into the household while still allowing the higher benefit to grow.  

Couples should also plan for the surviving spouse’s income needs. When one spouse dies, the survivor is eligible for 100% of the deceased spouse’s benefit if that’s higher than their own. So, delaying the higher earner’s benefit increases their income while they are alive and provides greater financial security for the surviving spouse.

4. Fitting Social Security Into Your Overall Retirement Income Plan

Social Security is just one piece of the retirement income puzzle. Pensions, 401(k)s, IRAs and other savings also come into play. The right Social Security claiming strategy for you depends on how these different income streams fit together.  

For example, someone with a generous pension might rely less on Social Security, giving them more flexibility on when to claim. On the other hand, someone without a pension may need to carefully time their Social Security to bridge the gap to when they plan to tap 401(k) or IRA dollars.

It’s also important to remember that Social Security is the only retirement income source adjusted for inflation and lasts for life. Maximizing this guaranteed income can provide valuable peace of mind.

5. Taxes on Social Security Benefits

Many people are surprised to learn that Social Security benefits can be taxable. Depending on your “combined income” (Adjusted Gross Income + nontaxable interest + half of your SS benefits), up to 85% of your benefits may be taxed at your normal income tax rate.  

The thresholds for taxation of benefits are:

• 0% taxed if combined income is less than $25,000 (single) or $32,000 (married).
• Up to 50% taxed if combined income is $25,000-34,000 (single) or $32,000-44,000 (married).
• Up to 85% taxed if combined income exceeds $34,000 (single) or $44,000 (married).  

Careful planning around which retirement income sources to tap when can help manage the tax implications. For example, drawing more heavily from 401(k)s or traditional IRAs early in retirement while delaying SS could result in a larger portion of your benefits being tax-free later.

6. Working While Collecting Social Security

Continuing to work after claiming Social Security adds another wrinkle to your claiming decision. That’s because earned income above certain thresholds can temporarily lower your benefits.

Before the Full Retirement Age

If you start benefits before your FRA, the SSA deducts $1 from your monthly payment for every $2 you earn above an annual limit ($21,240 in 2023). In the year you reach FRA, the deduction is $1 for every $3 earned above a higher limit ($56,520 in 2023).  

After the Full Retirement Age

Once you hit FRA, there’s no benefit reduction, regardless of how much you earn. Your benefits are recalculated at that point to account for the withheld amounts, resulting in a higher monthly payment going forward.

While the pre-FRA deductions aren’t a permanent loss, they are important if you plan to work in early retirement. They delay benefits until at least FRA can prevent your monthly income from taking a temporary hit.

When to Submit Your Social Security Application

You’ve considered the key factors and landed on your ideal claiming age. The next question is: how far in advance should you pull the trigger and actually apply for benefits? 

The Social Security Administration often recommends submitting your application 3-4 months before you want your benefits to start.

While applying for benefits can be done online, by phone, or in person, the SSA still takes time to process your application and verify your information. Applying 3-4 months in advance gives them sufficient lead time to get everything squared away so your benefits can start on schedule.

If you’re champing at the bit to get the application submitted, you can apply up to four months before you want benefits to begin. But there’s no real advantage to applying earlier than that. Your benefits will still start at the same time—the month you indicate on your application.  

In fact, the SSA won’t start paying benefits until the month after you reach your claiming age. So if you’re applying at 62, for example, your first payment would arrive the month after your 62nd birthday (since you are eligible once you are 62 for the full month). Applying more than 4 months in advance will get you your money later.

The key is to give yourself and the SSA enough lead time so your benefits start when you need them to without an unnecessary gap in income. The sweet spot is 3-4 months before go-time.  

Special Situations That Can Impact Social Security Timing

While the majority of retirees will follow the standard application timeline, some unique scenarios can affect when you’re eligible for certain benefits.

Spousal Benefits: Individuals can claim spousal benefits based on their spouse’s work record as early as age 62 (assuming the spouse has started their own benefit). However, you can’t earn delayed retirement credits on a spousal benefit. So, there’s no advantage to waiting past full retirement age to start spousal benefits.  

• Survivor Benefits: Widows and widowers can claim survivor benefits as early as age 60, though the benefit will be reduced compared to claiming at full retirement age. Survivor benefits are not impacted by when the deceased spouse originally claimed their own benefit.
• Disability Benefits: Social Security Disability Insurance (SSDI) can be claimed at any age if you meet the medical and work history requirements. If you’re receiving SSDI when you reach full retirement age, your disability benefit automatically converts to a retirement benefit at the same amount.
• Dependent Benefits: If you’re claiming retirement benefits and still have dependent children at home, they may be eligible for dependent benefits on your record. This most commonly applies to older parents with minor or disabled adult children. The kids’ benefits don’t impact your own claiming decision, but it’s worth knowing about this extra source of income.  

Choosing Your Ideal Claiming Age and Application Date

Remember to consider key factors like longevity, spousal coordination, retirement income, and taxes when deciding when to claim Social Security benefits. There’s no universal “right” answer, as it depends on your unique financial situation and retirement goals. 

For guidance, use the SSA’s Claiming Age Calculator, consult a financial advisor, and mark your calendar 3-4 months before your ideal claiming age to submit your application. With smart planning, you can maximize your Social Security benefits and enjoy a more secure retirement.