5 Common Myths About Social Security

July 21, 2025

Navigating the complexities of Social Security benefits can feel overwhelming. With rules that change based on age, income, and marital history, many Americans feel confused.

The formula is not simple, so it’s no surprise they are unsure about how and when to claim their benefits. Worse, there is a lot of misinformation. Making decisions based on myths or half-truths could cost you thousands in retirement.

That’s why it’s crucial to understand the facts and consider how your Social Security choices fit into your overall retirement income strategy. Here are five of the most persistent myths about Social Security—and what you really need to know.

Myth #1: You must claim Social Security as soon as you turn 62

It’s true that age 62 is the earliest you can claim your Social Security retirement benefits—but it’s definitely not required. And in most cases, claiming early means accepting significantly lower monthly payments for the rest of your life.

Social Security calculates your “full retirement age” (FRA) based on the year you were born. For anyone born in 1960 or later, your FRA is 67. If you decide to claim at 62, your benefit will be permanently reduced by about 30% compared to what you'd receive at your FRA.

The longer you wait to claim—up until age 70—the larger your monthly benefit becomes. In fact, waiting until 70 can increase your monthly benefit by roughly 77% compared to claiming at 62. That difference can translate into tens of thousands of dollars over the course of a long retirement. So if your financial situation allows, it may be worth waiting to maximize your benefit.

Myth #2: You’ll never get back what you paid into the system

This belief stems from the assumption that Social Security is just a government-run savings account—but it’s not. Instead, Social Security is a social insurance program. Your payroll taxes help fund benefits for current retirees and, in turn, future workers’ contributions will fund yours.

It is hard to say how much you will get. This amount depends on how long you live and when you claim.

Many retirees receive more in benefits than they paid in. This is especially true if they live into their 80s, 90s, or longer. Social Security adjusts for inflation and is meant to last a lifetime. This makes it a good protection against longevity risk, which is the chance of outliving your savings.

Even after your passing, benefits may continue to your surviving spouse if they are eligible for survivor benefits.

Myth #3: Your ex-spouse’s Social Security decisions can hurt your benefits

This can be confusing, but it’s important to understand. If you were married for at least 10 years and have not remarried, you may qualify for divorced spousal benefits. This is true even if your ex is still alive.

You can claim up to 50% of your ex-spouse’s benefit. This is based on their full retirement age (FRA). This is true if their amount is more than what you would get from your own work history.

Better yet, your ex doesn't have to be involved in the process, and your claim does not affect their benefits in any way. If you think you may be eligible, contact the Social Security Administration and bring the appropriate documentation—such as your marriage and divorce records—to explore your options.

Myth #4: Only earnings before age 65 count toward your benefit

Many people think your benefit is frozen once you hit age 65, but that’s not the case. Social Security calculates your retirement benefit based on your highest 35 years of earnings—regardless of your age when you earned them.

That means if you continue working after 65, especially if you're earning more than you did earlier in your career, those higher-earning years could replace lower-earning ones in the formula and increase your benefit amount. Even part-time work can help if it bumps one of your lower-earning years out of the calculation.

If you haven’t yet accumulated 35 years of earnings, Social Security fills in the blanks with zeroes, which lowers your average—and your benefit. So, continuing to work after 65 can make a meaningful difference.

Myth #5: You can claim early and automatically get more later

Once you start receiving benefits, the amount is generally locked in—claiming at 62 doesn’t mean you’ll automatically get bumped up when you reach FRA. That misconception can lead to serious disappointment.

However, there are a few limited opportunities to change course. If you have received benefits for less than 12 months, you can cancel your claim.

You must repay what you received, including any benefits paid to family members. After that, you can apply again later for a higher benefit. You can only do this once in your lifetime.

There’s also an option to suspend benefits once you reach your FRA. By suspending and then restarting your benefits at a later date—up to age 70—you can earn delayed retirement credits, which increase your monthly payout.

Bottom Line

Social Security can form the foundation of your retirement income, offering a guaranteed, inflation-adjusted stream of income for as long as you live. But to get the most out of it, you’ll need to cut through the myths and base your decisions on facts, not assumptions.

Start by reviewing your earnings history and estimated benefits at SSA.gov. Run the numbers using the SSA’s tools and calculators and talk with a financial advisor to ensure your claiming strategy aligns with your broader retirement goals.

Sources:

https://www.fidelity.com/viewpoints/retirement/social-security-myths

Disclosure:

This information is an overview and should not be considered as specific guidance or recommendations for any individual or business.

This material is provided as a courtesy and for educational purposes only.

These are the views of the author, not the named Representative or Advisory Services Network, LLC, and should not be construed as investment advice. Neither the named Representative nor Advisory Services Network, LLC gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your Financial Advisor for further information.