There aren't many social programs in the U.S. that have had as much of a positive impact as Social Security retirement benefits. For most recipients, it's a well-earned benefit after years of paying Social Security payroll taxes.

Since 1961, the earliest anyone can claim Social Security retirement benefits is age 62. The downside, however, is that claiming at that age permanently reduces your monthly benefit based on how far away you are from your full retirement age (FRA).

The amount of your monthly Social Security benefit depends heavily on your lifetime earnings, but knowing the average benefit at certain ages can help you better plan your retirement finances. As of the end of 2024, the average monthly retired worker benefit for a 62-year-old is $1,298 (rounded to the nearest dollar).

How claiming Social Security early affects your monthly benefit

If you plan to claim Social Security at 62, the amount your monthly benefit will be reduced by will depend on your FRA. Below are FRAs by birth year:

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If you're within 36 months of your FRA, your benefit is reduced by 5/9 of 1% for each month you claim early. Any additional month further reduces benefits by 5/12 of 1%.

Anyone turning 62 this year or later has an FRA of 67, meaning claiming benefits at 62 would reduce the monthly amount by 30%. For example, if you were slated to receive $2,000 monthly at 67, you'd receive $1,400 by claiming at 62.

The importance of multiple income sources

With a $1,298 monthly benefit, the average person receives around $15,576 in annual Social Security payments. For many people, this simply isn't enough to live on in retirement -- which points to the importance of having multiple retirement income sources.

By taking advantage of retirement accounts like a 401(k) or IRA, you can get a 2-for-1 deal: putting money away for your future and receiving a tax break for doing so.