Social Security claiming ages may soon get new names. What retirees need to know

One of the most significant decisions retirees face—when to claim Social Security benefits—could be described differently under a bill that may become law.

The Claiming Age Clarity Act, a bipartisan proposal that revises certain terms describing the ages at which workers can claim Social Security retirement benefits, passed the Senate on Tuesday.

The bill is now headed to President Donald Trump for signature. The White House did not respond to CNBC.com’s request for comment on whether and when he might sign.

Claiming Social Security benefits at age 62—the point when qualifying retirees first become eligible—may permanently reduce benefits by up to 30% compared with claiming at full retirement age.

age 62would be labeled “minimum benefit age” instead of the current “early eligibility age.”

For those aged 66 to 67, receiving 100% of earned benefits depending on their birth year, the agency would use “standard benefit age” rather than “full retirement age.”

Age 70 would be termed “maximum benefit age” instead of “delayed retirement age,” per the new designations.

The Claiming Age Clarity Act seeks to modernize the terminology used around claiming ages to help retirees better understand the trade‑offs associated with each option. Importantly, the legislation does not alter the actual claiming ages or the way benefits are paid.

“This straightforward legislation aims to simplify bureaucratic jargon which may mislead Americans into making poor financial decisions,” said Rep. Lloyd Smucker, R‑Pa., when he introduced the bill with Rep. Don Beyer, D‑Va., in 2025.

New terms use ‘minimum’, ‘standard’ and ‘maximum’

Under the bill’s provisions, age 62 becomes “minimum benefit age,” whereas the SSA would label the period from age 66 to 67 “standard benefit age” because recipients earn 100% of their earned benefits (subject to their birth year). At age 70, the agency would refer to it as “maximum benefit age.”

Social Security’s funding challenges still loom

The Senate passing the bill was noted as “good news for Americans making decisions about their Social Security benefits,” said Sen. Bill Cassidy, R‑La., who drafted the Senate version in 2025. Now, Congress must confront the larger issue of Social Security’s solvency, which remains the fundamental constraint on benefits. While funding concerns are common reasons for early claims, experts generally advise retirees to delay until age 70 wherever possible.

“Changing the name is a good step, an important step, but there’s more work to be done,” said Shai Akabas, vice president of economic policy at the Bipartisan Policy Center. The Washington, D.C.-based think tank’s lobbying arm, BPC Action, supported the measure.

Laboratory notes indicate that the language redesign originated roughly ten years ago. Additional initiatives to improve communication around benefits—including more frequent mailed benefit statements—are under consideration.

The Congressional Budget Office has not yet performed a cost analysis of the Claiming Age Clarity Act. In the long run, the modifications should not materially affect the program’s finances. Short‑term, the shift may actually save the program money, because it could encourage people to claim benefits later than they otherwise would.

Broad-based Social Security reform addressing the fund’s fiscal issues will require further bipartisan compromise. The passage of the Claiming Age Clarity Act, though a modest adjustment, widens the dialogue between lawmakers, indicating that the debate continues.

AARP also backs the Change, noting research showing that while many older adults understand that postponing Social Security raises their lifetime earnings, they often lack clarity about the specific age that maximizes benefits.

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