If you’ve already claimed Social Security but wish you’d waited, there’s a little-known strategy called voluntary suspension that lets you hit pause on your benefits and earn delayed retirement credits of 8% per year — potentially adding $1,000 or more to your monthly check by the time you turn 70. You don’t have to repay what you’ve already received, and the move is completely free to request from the Social Security Administration. For many retirees between 62 and 69, this is one of the highest-returning, lowest-risk financial moves available.

What exactly is the Social Security suspension strategy?

Once you’ve reached your full retirement age (FRA) — which is 66 or 67 depending on your birth year — you can ask Social Security to voluntarily suspend your benefit payments. Every month your benefit is suspended, the SSA credits your future benefit with a delayed retirement credit of two-thirds of 1% per month, which works out to 8% per year. If your current benefit is $2,200 a month and you suspend for two years, you’d restart at roughly $2,552 — an increase of $352 a month, or over $4,200 a year. Suspend for three years and you could be looking at a jump of more than $500 a month. Those with higher benefits — say, $3,000+ — can easily see monthly gains well over $1,000 by waiting until age 70.

Important note: you cannot suspend before you reach your full retirement age. And once you turn 70, benefits restart automatically whether you ask or not.

When should I claim Social Security to maximise my benefit?

The classic answer is: wait as long as you can, up to age 70. Claiming at 62 — the earliest possible age — permanently reduces your benefit by up to 30%. Claiming at your full retirement age gets you 100% of what you’ve earned. Waiting until 70 gets you the maximum, which can be 24–32% more than your FRA amount, depending on when you were born.

But life isn’t always that clean. If you’re in poor health, need the income now, or have a spouse with a much lower earning record, claiming earlier can make sense. The break-even point — where the higher delayed benefit outweighs the years of foregone payments — typically falls around age 80 to 83. If you expect to live past that, waiting (or suspending) usually wins.

How much of Social Security is taxable?

This surprises a lot of people: up to 85% of your Social Security benefit can be subject to federal income tax, depending on your total income. The IRS uses a figure called your “combined income” (adjusted gross income + nontaxable interest + half of your Social Security). If that combined income is between $25,000 and $34,000 for single filers (or $32,000–$44,000 for married filing jointly), up to 50% of your benefit is taxable. Above those thresholds, up to 85% is taxable.

One silver lining of suspending your benefit: during suspension, you receive no Social Security income, which can reduce your taxable income for those years — potentially keeping more of your other income in a lower bracket.

What are the RMD rules for 2025 and 2026?

Required Minimum Distributions (RMDs) are the amounts the IRS requires you to withdraw from traditional IRAs, 401(k)s, and most other tax-deferred retirement accounts each year once you hit a certain age. As of 2025 and continuing into 2026, the RMD starting age is 73, thanks to the SECURE 2.0 Act passed in 2022. (It will rise to 75 for people born in 1960 or later, starting in 2033.)

Your RMD amount is calculated by dividing your account balance (as of December 31 of the previous year) by an IRS life expectancy factor from their Uniform Lifetime Table. Miss an RMD and the penalty is steep — 25% of the amount you should have withdrawn, though it drops to 10% if you correct the mistake quickly. RMDs count as ordinary income, so they can push you into a higher bracket and — importantly — trigger higher Medicare premiums through IRMAA (more on that below).

How do I avoid Medicare IRMAA surcharges?

IRMAA stands for Income-Related Monthly Adjustment Amount, and it’s Medicare’s way of charging higher-income retirees more for Parts B and D. In 2025, the standard Medicare Part B premium is $185.00 per month. But if your income (based on your tax return from two years prior) crosses certain thresholds, you can pay anywhere from $259 to $628.90 per month — per person.

The IRMAA income brackets for 2025 start at $106,000 for single filers and $212,000 for married couples. Strategies to stay under those thresholds include:

  • Roth conversions in lower-income years (converting traditional IRA money to a Roth IRA reduces future RMDs and future taxable income)
  • Qualified Charitable Distributions (QCDs) — donating directly from your IRA to charity satisfies your RMD without adding to your taxable income
  • Spreading large one-time income events across multiple years when possible
  • Appealing your IRMAA if you had a major life change (retirement, divorce, death of a spouse) that reduced your income since that two-year-old return was filed

If you’re near an IRMAA threshold, even $1 of extra income can cost you hundreds per month in higher Medicare premiums — so this is worth careful planning.

Is the suspension move right for everyone?

Not necessarily, but it deserves a serious look if you:

  • Already claimed Social Security before 70 and your health is good
  • Have other income sources (pension, part-time work, savings) to cover living expenses during the suspension period
  • Want to maximize your benefit for longevity protection or to leave a larger survivor benefit for a spouse

The paperwork is simple — you can request a voluntary suspension by calling the SSA at 1-800-772-1213 or visiting your local Social Security office. You can also restart your benefit at any time before 70 with a simple phone call.

For married couples, this strategy can be especially powerful: the higher earner suspending means a larger survivor benefit if that person dies first, giving the surviving spouse a meaningful income boost for the rest of their life.

Social Security decisions interact with your taxes, Medicare costs, and retirement account strategy in ways that can add up to tens of thousands of dollars over a retirement. The suspension move is one of the clearest examples of a free, low-effort action with a potentially enormous payoff.

Frequently Asked Questions

When should I claim Social Security to maximise my benefit?

Waiting until age 70 produces the largest possible monthly benefit — up to 32% more than claiming at full retirement age and up to 77% more than claiming at 62. The break-even age where delayed claiming outperforms early claiming is typically around 80–83, so longevity and health are the key factors to weigh.

How much of my Social Security benefit is taxable?

Up to 85% of your Social Security benefit can be federally taxable depending on your combined income (AGI plus nontaxable interest plus half of your Social Security). Single filers with combined income above $34,000 and married filers above $44,000 face the 85% maximum taxable rate. Most states do not tax Social Security, but about a dozen still do.

What are the RMD rules for 2025 and 2026?

The required minimum distribution (RMD) starting age is 73 for anyone born between 1951 and 1959, as set by the SECURE 2.0 Act. Your annual RMD is calculated by dividing your prior year-end account balance by an IRS life expectancy factor. Missing an RMD triggers a 25% penalty on the missed amount, reduced to 10% if corrected promptly.

How do I avoid Medicare IRMAA surcharges?

IRMAA surcharges kick in when your income from two years ago exceeds $106,000 (single) or $212,000 (married). You can reduce future IRMAA exposure through Roth conversions in lower-income years, qualified charitable distributions from your IRA, and carefully timing large income events. If your income dropped due to retirement or another life change, you can appeal your IRMAA determination directly with Medicare.

What is the Medicare Part B premium for 2025?

The standard Medicare Part B premium in 2025 is $185.00 per month per person. Higher-income retirees subject to IRMAA pay more, with surcharges ranging from an additional $74 to nearly $444 per month depending on income tier. Part B covers doctor visits, outpatient care, and preventive services.