Claiming Social Security at 62 Can Beat Waiting Until 70 Before Age 80
Updated
Updated · 24/7 Wall St. · May 12
Claiming Social Security at 62 Can Beat Waiting Until 70 Before Age 80
8 articles · Updated · 24/7 Wall St. · May 12
$192,000 in forgone checks is the key tradeoff in waiting from 62 to 70, making the break-even point roughly age 80 rather than an automatic win for delaying.
On a full-retirement benefit of $2,857 a month, claiming at 62 pays about $2,000 versus $3,543 at 70; someone dying at 78 would collect roughly $384,000 early versus $340,000 by waiting.
Early claiming looks strongest for retirees with shorter life expectancy, people who are single, divorced or widowed without survivor-benefit considerations, and those who would otherwise sell investments in a downturn.
Rates also narrow the gap: with the federal funds rate at 3.75% and the 10-year Treasury near 4.4%, early checks can earn safe returns, while trust-fund fears alone are a weak reason to claim early despite a projected 23% cut around 2032.
With benefits facing a 24% cut, is claiming Social Security early the only safe bet for your retirement?
Could a new 'Six Figure Limit' on benefits solve Social Security's crisis and boost checks for most retirees?