While Americans can file for Social Security benefits as early as age 62, not everyone who reaches this age will qualify. Certain eligibility requirements must be met, including earning enough work credits over one’s career.
Here’s a look at why some 62-year-olds will miss out on Social Security in 2025 and what it takes to qualify.
Eligibility
Minimum Age Requirement
To file for Social Security benefits, individuals must be at least 62 years old. However, age alone does not guarantee eligibility. Applicants must also meet specific work history and earnings requirements.
Many are surprised to learn that despite reaching the right age, they may not qualify due to a lack of Social Security work credits.
Work Credits Requirement
The Social Security Administration (SSA) requires beneficiaries to have earned at least 40 work credits to qualify for retirement benefits. Typically, workers can earn a maximum of four credits per year, meaning it takes about 10 years of work to accumulate the required 40 credits.
For each credit in 2024, individuals need a minimum of $1,730 in earnings on which they pay Social Security taxes. This threshold is adjusted annually to reflect wage growth.
Therefore, a worker who earns $6,920 or more in covered income in a year would earn the maximum four credits for that year.
Occupations Not Covered by Social Security
Some jobs do not contribute to Social Security, meaning workers in these roles may not have accrued any or enough work credits. Examples of employment that may not pay into Social Security include:
- Certain Government Jobs: Federal, state, and local government roles may offer pension plans rather than paying into Social Security, especially for workers hired before certain years.
- Religious Exemptions: Some religious groups exempt themselves from Social Security.
- Railroad Employees: Covered by the Railroad Retirement System, these workers do not participate in Social Security.
Workers in these roles may qualify for pensions or other retirement income, but unless they have other covered employment, they may not be eligible for Social Security.
Verifying Eligibility
How to Check Work Credits
If you’re unsure about your eligibility, the SSA provides a simple way to verify work credits through a my Social Security account. Once logged in, you can view your Social Security Statement, which shows your total credits, estimated benefits, and eligibility status for retirement benefits. The Statement can also indicate benefits for which your family may qualify based on your earnings record.
Impact of Filing at Age 62
Filing for Social Security at the minimum age of 62 permanently reduces monthly benefits by about 30%. For those who can wait until full retirement age (between 66 and 67, depending on birth year), benefits will be higher.
| Filing Age | Reduction in Benefits |
|---|---|
| 62 | 30% |
| 63 | 25% |
| 64 | 20% |
| 65 | 13.3% |
| 66 | 6.7% |
| Full Retirement Age (67) | 0% |
Those who wait beyond full retirement age, up to age 70, earn delayed retirement credits, further increasing monthly payments.
Options for Ineligible Individuals
If you find yourself ineligible for Social Security benefits, there are other ways to plan for retirement:
- Supplemental Security Income (SSI): For individuals over 65 or with disabilities and limited income, SSI offers financial support even without a work history.
- Spousal or Survivor Benefits: If you’re married or a surviving spouse, you may qualify for benefits based on your spouse’s record if they have sufficient work credits.
- Delayed Application: Continuing to work, especially in a Social Security-covered position, can help you accumulate the necessary credits.
Understanding these qualifications can help prevent surprises and ensure you’re prepared to maximize your Social Security benefits when eligible.
