Recent surveys expose a significant gap between when Americans want to stop working to claim their retirement, when they actually do, and when — according to those who have already been through it — they should have.
The data points to a specific number that keeps surfacing across different studies, even as the financial reality facing millions of people makes that target harder to reach with each passing year.
When Should You Retire in America? What Others Did
The 2024 MassMutual Retirement Happiness Study, one of the most referenced surveys on the subject, polled 2,000 people between current retirees and workers approaching retirement age. The result converged on a single figure: 63 years old.
That is the age both those who have already left the workforce and those preparing to do so identified as the most sensible moment to make the move. The survey does not spell out precisely why that number emerged as a consensus, but the financial mechanics of the Social Security system offer some clues.
This Is the Magic Number for Most
Retiring at 63 years old means having waited one year past the minimum eligibility age to begin collecting Social Security benefits, which is 62. Every year a person delays their claim increases their monthly payment.
On top of that, funds held in IRA accounts by that point have had at least three and a half additional years to grow since the account holder first became eligible to withdraw at 59½ — a meaningful difference compared to someone who pulls funds out at the earliest allowed moment.
What to Expect in Retirement Payment at Every Age
Still, the federal program’s own data makes a compelling case for waiting even longer. Claiming Social Security at 62 produces a monthly benefit of roughly $2,831. Those who hold off until the Full Retirement Age — currently between 66 and 67 for anyone born after 1960 — receive around $4,018 per month.
Waiting all the way to 70 unlocks the maximum: approximately $5,108 monthly. The spread between retiring at 62 versus 70 amounts to more than two thousand dollars every single month for the rest of a person’s life.
Despite those figures, the average effective retirement age in the United States sits at 62, according to the same 2024 MassMutual data. The overlap between that number and the minimum Social Security eligibility age is not coincidental. A large share of retirements are not voluntary.
Health deterioration, corporate restructuring, layoffs, and caregiving obligations push people out of the labor market well before they intended to leave. Gallup has tracked this same gap for decades: active workers project they will retire at 66 or later, yet the actual average consistently lands about four years below that expectation.
How the Answer Shifts Depending on Who Is Being Asked
The Pew Research Center conducted an online survey of 3,600 U.S. adults in 2024, asking them about the ideal age for various life milestones, retirement among them. The overall average came in at 61.8 years. That number, however, moves considerably depending on the respondent’s age group. Adults under 30 place the ideal retirement age just below 60.
By contrast, those who have already passed 65 — meaning they have lived through the experience firsthand — put the number at 65 years old. The gap between both groups stretches to roughly five years, reflecting how direct experience reshapes the perception of when leaving the workforce actually makes sense.
What Retiring at 65 Brings: Medicare Coverage
That five-year difference is not arbitrary. Age 65 carries a specific meaning within the U.S. system: it marks the beginning of Medicare coverage. Retiring before that point means paying out of pocket for private health insurance during the gap between stopping work and qualifying for federal coverage — a cost that can run high depending on a person’s health status and the state where they live.
The MassMutual study surfaces a central tension: 35% of pre-retirees acknowledge that their current savings would fall short of what they would need to retire at their preferred age. Another 34% of that same group believe there is a real chance their money will run out before they die.
Among people who are already retired, that fear persists in 22% of respondents. The risk of outliving one’s savings emerges as one of the most consistent anxieties cutting across both groups.
That backdrop helps explain why the share of older adults still active in the labor market continues to climb. In 2024, the proportion of Americans aged 65 and older who remained employed reached 19.5%, the highest level recorded in a decade according to Census figures. Some of that group stays by choice; others stay out of necessity. The available aggregate data does not draw a clean line between the two.
One More Thing
This article is strictly informational and does not constitute financial, legal, or professional advice of any kind. Retirement decisions involve individual circumstances that vary significantly from person to person. Anyone considering retirement planning is encouraged to consult a certified financial planner, a Social Security Administration representative, or another qualified professional before making decisions of this nature.
