Delayed Retirement Credits
Published: 2/18/2026
If you've ever wondered whether it's worth waiting to claim Social Security, Delayed Retirement Credits (DRCs) are the core mechanism behind that decision. For every month you delay claiming past your Full Retirement Age (FRA), your monthly benefit permanently increases. Wait long enough and the increase is substantial.
DRCs are one of the few guaranteed, risk-free ways to increase lifetime income in retirement. Understanding exactly how they work — and when they apply — is essential to making a well-informed claiming decision.
Key Takeaways
- DRCs increase your benefit by 2/3 of 1% per month (8% per year) for each month past FRA
- Credits stop accruing at age 70 — never delay past then
- Maximum increase: 32% if your FRA is 66, or 24% if your FRA is 67
- DRCs apply only to your own worker benefit, not to spousal benefits claimed on another's record
- Survivor benefits do include your DRCs — delaying protects your spouse
- The enhanced amount receives COLA — the advantage compounds over time
What Are Delayed Retirement Credits?
When you reach Full Retirement Age, you are entitled to 100% of your Primary Insurance Amount (PIA). If you claim before FRA, your benefit is permanently reduced. If you claim after FRA, your benefit is permanently increased through Delayed Retirement Credits.
The credit rate is 2/3 of 1% per month, which equals exactly 8% per year. This rate applies to everyone born in 1943 or later. (People born before 1943 had lower credit rates — 3% to 7% per year — but that cohort is now past age 82 and largely retired.)
DRCs accumulate from the month after your FRA birthday month until the earlier of: the month you claim benefits, or the month you turn 70. Claiming after 70 provides no additional increase.
How Much Can DRCs Increase Your Benefit?
The size of the maximum possible increase depends on your birth year, which determines your FRA. A later FRA means fewer years available to earn DRCs before age 70.
| Birth Year | Full Retirement Age | Max Delay Window | Max DRC Increase |
|---|---|---|---|
| 1943–1954 | 66 | 4 years | 32% |
| 1955 | 66 + 2 months | 3 years 10 months | ~30.7% |
| 1956 | 66 + 4 months | 3 years 8 months | ~29.3% |
| 1957 | 66 + 6 months | 3 years 6 months | 28% |
| 1958 | 66 + 8 months | 3 years 4 months | ~26.7% |
| 1959 | 66 + 10 months | 3 years 2 months | ~25.3% |
| 1960 and later | 67 | 3 years | 24% |
Month-by-Month Calculation
Because DRCs are calculated monthly (not annually), delaying even a partial year earns proportional credit.
Example: James, Born in 1960
- FRA: 67 (January 2027)
- PIA: $2,000/month
- Decides to claim at age 69 and 6 months (July 2029)
- Months of delay past FRA: 30 months
- DRC rate: 30 × (2/3 of 1%) = 30 × 0.6667% = 20%
- Benefit at claim: $2,000 × 1.20 = $2,400/month
Had James waited 6 more months to age 70 (January 2030), he would earn the full 36-month credit: $2,000 × 1.24 = $2,480/month.
Who Earns Delayed Retirement Credits?
DRCs apply only to your own worker benefit — the retirement benefit calculated from your own earnings record. They do not apply to:
- Spousal benefits: If you collect a benefit based on your spouse's work record, that benefit is capped at 50% of your spouse's PIA regardless of your age. Your own DRCs have no effect on a spousal benefit.
- Disability benefits: SSDI converts to a retirement benefit at FRA — there is no option to delay SSDI to earn DRCs.
DRCs and Survivor Benefits
One of the most compelling reasons for a high-earning spouse to delay is the effect on survivor benefits. When you die, your surviving spouse can receive up to 100% of what you were receiving. That amount includes your DRCs.
Example: Survivor Benefit Impact
Maria (FRA 67, PIA $3,000) is considering when to claim. Her husband David has a much lower benefit.
- If Maria claims at FRA (67): David's survivor benefit = $3,000/month
- If Maria claims at 70: David's survivor benefit = $3,720/month (24% higher)
- Over 20 years of David's survivorship, the difference = $172,800 in additional lifetime income
For married couples where one spouse has significantly higher earnings, delaying the higher earner's benefit is often the most impactful financial decision they can make.
See our full guide on survivor benefits for more detail on this topic.
DRCs and Cost-of-Living Adjustments (COLA)
Social Security benefits receive annual Cost-of-Living Adjustments (COLA) to keep pace with inflation. Importantly, COLA applies to your entire benefit amount, including the portion added by DRCs.
This means the advantage of delaying compounds over time. A larger base benefit grows faster in absolute dollar terms with each COLA increase. If COLA averages 2.5% per year, the gap between a benefit claimed at 67 versus 70 widens every single year — not just at the time of claim.
For more on how COLA works, see our guide on inflation and Social Security benefits.
The Delayed January Bump
There is a subtle nuance to how DRCs are applied. If you claim benefits between February and December of a year, a portion of your DRCs for that year may not appear in your initial benefit check — they are delayed until January of the following year.
This is because SSA applies DRCs earned in a given year on a January basis. The practical effect is a small initial underpayment followed by a corrected higher amount in January. See our detailed guide on the delayed January bump for the full explanation.
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Frequently Asked Questions
How much do Delayed Retirement Credits increase my benefit?
Delayed Retirement Credits increase your benefit by 2/3 of 1% for each month you delay past Full Retirement Age, which equals 8% per year. If your FRA is 67 and you wait until 70, your benefit increases by 24% above your PIA. If your FRA is 66, the maximum increase is 32% (4 years × 8%).
What is the last age at which I can earn Delayed Retirement Credits?
Delayed Retirement Credits stop accruing at age 70. There is no benefit to waiting past 70 — you should claim by then to avoid leaving money on the table.
Do Delayed Retirement Credits apply to spousal benefits?
No. If you claim a spousal benefit on your spouse's record, your benefit is based on your spouse's PIA and is not increased by your own DRCs. However, if your spouse delays claiming their own benefit, that delay does increase your spousal benefit because it's calculated from their higher benefit amount.
Does my surviving spouse receive my Delayed Retirement Credits?
Yes. If you die before your spouse, your surviving spouse's benefit is based on the amount you were actually receiving (or were entitled to receive), which includes your DRCs. This is one of the strongest reasons high earners should consider delaying — it provides a larger survivor benefit for a lower-earning spouse.
What happens to withheld benefits from the earnings test — are they returned as DRCs?
Yes. If benefits are withheld before FRA because you exceeded the earnings test limit, SSA credits you for those withheld months when you reach FRA. Your benefit is recalculated as if you had claimed later, effectively restoring those credits through a higher monthly payment.
Related Guides
For more on related topics, see:
- Normal Retirement Age (FRA) — understand when your DRC window begins
- Primary Insurance Amount (PIA) — the base amount DRCs are applied to
- Survivor Benefits — how your DRCs protect a surviving spouse
- Delayed January Bump — nuance in how DRCs are applied month-to-month
- Earnings Test — how working before FRA interacts with DRCs
- COLA and Inflation — how your enhanced benefit grows over time