What Raising Social Security Retirement Age Would Mean [Video]

Raising the Social Security retirement age could improve the beleaguered program’s finances, but workers would pay a steep price, according to recent studies.

Some Republican lawmakers and an influential think tank have proposed raising the age to receive full retirement benefits to 69 from 67. Under this proposal, workers would be faced with the choice of working longer or living on less money during their retirement. On average, they would take home 8% less benefits over their lifetimes compared to the current system, the Congressional Budget Office (CBO) estimated last month.

Social Security faces a looming crisis as trust funds that finance the program are on track to run dry by 2034. At that point, the government would be forced to cut benefits to 83% of their previous levels to keep the program running.

Republicans are offering to raise the age threshold partly to counter Democrats’ proposals to raise taxes on high earners to cover …