2 Social Security Trends to Watch Post-COVID

“Our reading of the early evidence is that COVID and the ensuing recession have not pushed large numbers into early retirement — perhaps because those most affected cannot afford to stop working,” according to authors Anqi Chen and Alicia Munnell. Chen is research economist and assistant director for savings research, and Munnell is director of CRR.

The share of people who have decided to claim Social Security benefits at age 62 has been falling since the mid-2000s, CRR found. Until 2005, about 60% of women and 55% of men claimed at this age. There was a noticeable increase in the share of people claiming at 62 following the Great Recession, but it has trended steadily down ever since.

Age Cohort Claiming Behavior

CRR also examined claiming age by birth cohort and found that younger generations have become less likely to begin taking benefits at 62. Early claimers held relatively steady among people born in the 1920s to the mid-1930s, but started to trend down for people born in the late 1930s. In fact, beneficiaries have been waiting longer and longer to begin taking benefits, the report found.

“The big news here is that not only has the percentage of 62-year-olds claiming at 62 declined dramatically, but those who forgo early claiming appear to wait to the full retirement age to claim their benefits,” according to the report.