Survey reveals 79% of U.S. adults misjudge full retirement age, risking long-term financial losses from poor claiming decisions.
A new survey finds only 21% of Americans correctly identify their full Social Security retirement age, exposing widespread gaps in benefit knowledge. Respondents averaged just 8 correct answers on a 15-question test covering basic rules, despite 74% expressing confidence in managing benefits without professional help.
The survey highlights critical misunderstandings around claiming mechanics, including the 12-month window to reverse decisions and tax implications on benefits. Between 54% and 65% of respondents regret not preparing better for retirement taxes, while 61% of current beneficiaries say missing half a monthly payment would disrupt their finances.
The findings, based on responses from 1,812 U.S. adults, underscore the financial risks of misinformed decisions over decades-long retirements. Many overlook annual losses of hundreds of dollars due to poor planning.