The Social Security Administration (SSA) has officially implemented its new payment adjustments starting May 2025, including a 2.5% cost-of-living adjustment (COLA). This update is designed to protect the purchasing power of over 70 million Americans against inflation, as shared by the SSA itself.
However, it’s important to remember that not everyone will see the same benefit amount. Each case is different and depends mainly on a person’s 35 highest-earning years and the age at which they claim their Social Security benefits.
Let’s take a closer look at how much you can expect to receive and what factors could impact your payments.
Maximum Social Security Payments in May 2025
The maximum monthly retirement benefits for 2025 vary depending on the age you start claiming:
- $2,831 per month if you claim benefits at age 62 (this amount includes a 30% early-claim penalty).
- $4,018 per month if you claim at your Full Retirement Age (FRA), which is between 66 and 67 years.
- $5,108 per month if you wait until age 70 (this is the highest possible amount after an 8% annual bonus for each year delayed past FRA).
It’s important to note that waiting beyond age 70 does not increase your benefits any further. After that point, there’s no added bonus, and your benefits stop growing.
Average Social Security Payments for Different Beneficiaries
While these maximum figures are impressive, most people receive much lower amounts. According to SSA data:
- Individual retirees receive an average of $1,980.86 per month.
- Retired couples get an average of $3,089 per month.
- Widows with two children can receive around $3,761 monthly.
- People with disabilities who have families usually get about $2,826 monthly.
Even though some reach the maximum benefits, only about 6% of all Social Security beneficiaries actually qualify for the highest possible payment.
Easy Explanation of Retirement Requirements in the U.S.
To qualify for Social Security benefits in 2025, you must earn 40 work credits, which is equal to about 10 years of work. You earn one credit for every $1,810 of income.
You can start claiming benefits at age 62, but claiming early means your monthly amount will be permanently reduced. The SSA calculates your payment based on your 35 highest-earning years. To get the maximum benefits, you must earn a high salary (up to the taxable limit of $176,100 in 2025).
Special groups like people with disabilities or survivors (such as widows or children) have additional rules, like needing proof of disability or a family connection to the deceased.
The SSA highlights that 62% of retirees depend on Social Security payments for at least half of their total income, showing how important these benefits are.
Claiming Benefits Early vs Waiting
Choosing when to claim benefits is a big decision. Here’s the impact:
- If you delay retirement until age 70, your monthly benefit can be about 76% higher than if you claim it at age 62.
- Even though waiting brings more money, 43% of Americans still choose to claim early, according to the Pew Research Center.
- If you work while receiving Social Security before reaching FRA, and you earn more than $23,400 per year, your benefits may be temporarily reduced.