CHANGES ARE AHEAD FOR AMERICANS WHO RETIRE

About every two years, it seems to come as a surprise to the nation -- and its news media -- that the retirement age for full Social Security benefits is going up. The latest round of stories comes just as the changes approved in 1983 start to take effect.

President Reagan and the Democrat-controlled Congress agreed in 1983 to increase the retirement age by small increments for Americans born in 1938 and thereafter. The reason was simple: The Social Security Trust Fund was being used then, as it is now, to fund large chunks of the federal government. And it was clear then, as it is now, that the trust fund is going to run low on funds as baby boomers start retiring.

For Americans born in 1960 or later, the age at which retirees will be eligible for full Social Security benefits will increase to 67. Up till now, full benefits have been available at age 65.

Americans are living longer and working longer. With the ability to extend their income-producing years, it only makes sense that Social Security requirements would be adjusted too. There is talk from time to time of extending the retirement age beyond 67, but no final action is in sight on that.

What is perhaps most surprising of all in this latest flurry of reporting about the extended Social Security retirement age is the fact that so few Americans seem to understand that there are changes afoot. Nor do they seem to understand that the changes were agreed upon 17 years ago, even though the first effects aren't being felt until next year.

The year 2000 is when Americans born in 1938 turn 62. Up till now, 62-year-olds have been able to retire and take reduced Social Security benefits. Starting next year, they can still retire early, by the benefits will be reduced slightly. These same 62-year-olds would need to wait until two months past their 65th birthday to get full Social Security checks.

One way the Social Security Administration is informing Americans of the changes is by sending statements that show what contributions have been made and when they are eligible for benefits. Previously, anyone could request this information, but now it is being sent to everyone.

There are a couple of things workers need to keep in mind, if they are concerned about their retirement future. One is that Social Security is intended to supplement income in retirement, even though many Americans rely entirely on the monthly checks from the federal government. Those who have saved and invested prior to retirement will be far better off whenever they retire. Another thing to keep in mind is that Social Security offices around the country can provide information and assistance for Americans contemplating retirement and trying to get their financial affairs in order.