Happy birthday! More than four million baby boomers turned 65 in 2024 — the largest number in U.S. history. In 2025, another four million are expected to have hit that age, with an average of 11,400 Americans turning 65 per day, a phenomenon referred to by some as Peak 65.
As you might know, 65 is the age at which you first become eligible for Medicare.
It's a great time to consider the changes that will come to your life, affecting your finances, your health and general physical well-being. You might also want to take advantage of some perks that come with age.
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Here are some things to know:
1. A wave of retirees
America’s older population increased 1,000% from 1920 to 2020, with one in six people now 65 or older. The U.S. Census Bureau calls it the “gray tsunami.”
Although some retirees are re-entering the workforce and "unretiring", many people are leaving the job behind, and many more require caregiving.
The aging of this population will affect everything from the ability to maintain Social Security funding to investments, taxes and health care resources. It will also require funding for better roads, emergency services, senior centers and more.
The country is already experiencing shortages in nursing home staff and home caregivers, something only expected to worsen.
2. The senior moment
When did 65 become the entry into senior citizenship? Part of the answer lies in the creation of Social Security in 1935, when the average life expectancy was just under 60, and people were suffering through the Great Depression.
Germany had set the stage when it became the first country in the world to adopt an old-age social insurance program in 1889, initially setting the retirement age at 70, lowering the age to 65 in 1916.
The U.S. government’s Committee on Economic Security, which designed Social Security, noted that retirement ages in the 30 then-existing state pension systems and the few private pension systems either used 65 or 70 as the retirement age.
Lawmakers then settled on 65 as the U.S. retirement age. It stayed that way until Congress overhauled the system in 1983 and gradually raised the full retirement age (FRA) to 67 for those born in 1960 or later.
In the last few years, various political groups and think tanks have proposed raising the Social Security retirement age, but no legislation to raise the FRA beyond 67 exists for 2025.
3. You’re probably already retired
It’s not as if a lot of people are actually waiting around for their 67th birthdays before retiring. According to Gallup, the average age people retire has been going up in the U.S., but it’s not yet even reached 65.
In 1991, the average adult reported retiring at age 57. However, the current average retirement age varies slightly depending on the source, but generally is somewhere from 61 to 64.
4. Scammers have you in their sights
We’ve all heard about the fake grandchild calls where the con artist poses as your grandson or granddaughter and asks for financial help. These scams continue to happen today.
Moreover, according to the FBI’s 2024 Elder Fraud Report, more than 101,000 individuals age 60 and older reported being victims of scams, with total losses reaching approximately $3.4 billion in 2023. Crypto fraud alone accounted for $2.8 billion in losses for those age 60 and older in 2024.
The most common financial scams include tax scams, where, for example, a con artist poses as an IRS agent demanding payment. Once you respond, the scammer will ask for personal information such as your bank account and Social Security Number..
There are sweepstakes scams where the caller tells you that you have won, but before you can get your winnings, you must send cash or gift cards.
5. Ageism is real
Two-thirds of workers age 50 and older reported seeing or experiencing age discrimination in the workplace, and more than one in five workers age 50 and older said they feel as if they're being pushed out of their job, according to a 2024 AARP Survey.
AARP offers help to people already on the job and those looking for a job after 65, including courses in how to avoid discrimination.
If you believe you've been discriminated against due to your age, you can file a complaint with the Equal Employment Opportunity Commission. However, consider going through your company’s grievance process first. Keep thorough records of all alleged discrimination.
6. Plan to take more drugs
People 65 and older take prescribed medications more frequently than any other U.S. age group, says the Marcus Institute for Aging Research.
Nearly 90% of older adults take at least one medication, with more than half reporting taking four or more prescription drugs. The most commonly used medications among the 60-to-79 age group are lipid-lowering drugs, antidiabetic agents and beta blockers.
But taking too many drugs can lead to safety concerns, carrying dangers such as increased drug interactions and falling and frailty among patients. It can also lead to something known as drug-disease interactions, in which a medication prescribed to treat one condition worsens another or causes a new one.
This has led to an evolving field of research known as deprescribing, which is searching for ways to cut back on prescription drugs to help patients. AARP offers a guide to medication management that you can find by going to www.aarp.org and searching for “medication management.”
Now that Robert F. Kennedy Jr. has been confirmed as HHS Secretary, expect vaccine policy changes, Medicare drug negotiations and a potential direct-to- consumer (DTC) advertising ban.
7. You’re not imagining all those new aches and pains
Among the changes to expect to your body, according to the Mayo Clinic, are stiffening blood vessels, weakening bones, structural changes in the large intestine and bladder, and possible minor effects on your thinking skills and your ability to multi-task because of the aging of your brain.
You're more likely at 65 or older — and especially women — to develop one or more chronic conditions, such as asthma, cancer or arthritis.
8. But there are plenty of perks
Most major grocery store chains offer senior discount days, and tons of restaurants offer early-bird specials for older adults. Dunkin', Chili’s, Red Lobster, Tim Hortons, Einstein Bros. Bagels and Panera Bread all have membership rewards programs for people 65 and older, so you can earn free food and meal discounts.
Amtrak offers 10% discounts on most fares when you turn 65.
You can also get a lifetime Senior Pass for national parks for just $80, the cost of an annual pass for anyone else. Some states also offer discounts to those 65 and over at state parks.
Some cruise lines offer senior discounts. You can score a lower price at AMC movie theaters. For a full list of senior discounts, go to www.seniorliving.org/finance/senior-discounts.
9. You get a break on your income taxes
You get an extra standard tax deduction from the Internal Revenue Service, just for starters.
For 2025 (returns normally filed in 2026), the new standard deduction is $15,000 for single filers, or those married, filing separately (up from $14,600 in 2024), $30,000 for married couples, filing jointly (up from $29,200 in 2024), and $22,500 for heads of household (up from $21,900 in 2024).
In 2025, the extra standard deduction for those 65 and older is $2,000 if you are single or file as head of household (up from $1,950 in 2024) and $1600 if you're married, filing jointly or separately (up from $1,550 in 2024).
Some states offer tax exemptions for people 65 and older. Maryland, for example, offers an additional $1,000 exemption on its state return for being 65 or older.
If you have a dependent 65 or older, you can get an extra exemption of up to $3,200. Most states offer property tax relief programs for older adults, but you might need to meet income requirements.
10. Heading into the home stretch
Like the man said: “Get busy living or get busy dying.” Any way you slice it, accept that you’re closer to your expiration date. A 65-year-old male can expect to live another 17 years, says the Social Security Administration. A woman can expect to live almost three years longer.
“Contemplating death can be psychologically beneficial,” writes psychologist Noam Shpancer in Psychology Today. “Conscious death awareness” can lead to evaluation and adjustment of your personal goals, he says. “Accepting loss, and by proxy, death, thus enables full-tilt living.”
Note: This item first appeared in Kiplinger Retirement Report, our popular monthly periodical that covers key concerns of affluent older Americans who are retired or preparing for retirement. Subscribe for retirement advice that’s right on the money.
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