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I’m Retired and Regret Claiming Social Security at 70 — Here’s Why
GOBankingRates ^ | May 13, 2025 | Laura Beck

Posted on 05/14/2025 12:38:15 PM PDT by where's_the_Outrage?

We’ve all heard the advice: Wait until you’re 70 to claim Social Security and you’ll get the biggest possible monthly check. Tim F., a retired healthcare worker from Arizona, followed this advice to the letter. But now, at 75, he’s having second thoughts.

GOBankingRates spoke with Tim to understand why he wishes he’d claimed his benefits earlier. His insights might just change the way you think about your own retirement plans.

Tim thought he was doing everything right.

“Everything you read says you should wait until 70 if you can,” he shared. “I guess I thought, well, I can, so I should. I didn’t stop to think about if that was actually the best plan for me.”

Tim likes larger monthly checks, but he’s not sure they were worth the price.

“Looking back, I would’ve wanted that extra money when my wife was still around.”.....

Tim doesn’t believe waiting until 70 is wrong for everyone. But he does have some advice for those trying to make this decision:

Consider your health. “Be realistic about how you might feel in 5 years,” said Tim.

Talk it over with your significant other. It’s not a good decision if it’s not made together.

Think about what you want to do in retirement. Travel? Spend time with grandkids? Take up knitting? Make a list and let your finances follow.

Look at your other income sources. Side hustles don’t have to end with retirement.

(Excerpt) Read more at msn.com ...


TOPICS: Business/Economy; Chit/Chat; Health/Medicine; Society
KEYWORDS: retiredincome; retirement; socialsecurity; ss
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To: V_TWIN
Everybody thinks they are going to live forever so they get greedy and hold out for more SSA money.

The truth is, none of us know how much time we have on this earth and we are not garranteed one more minute.


Some of us are going to live forever and do not need more SSA money.

Believe it and bank on it.

Matthew 6:
[19] Lay not up for yourselves treasures upon earth, where moth and rust doth corrupt, and where thieves break through and steal:
[20] But lay up for yourselves treasures in heaven, where neither moth nor rust doth corrupt, and where thieves do not break through nor steal:
[21] For where your treasure is, there will your heart be also.

21 posted on 05/14/2025 1:05:11 PM PDT by af_vet_1981 ( The bus came by and I got on, That's when it all began.)
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To: where's_the_Outrage?

I started SS at 62 and have taken out more than I paid in.
Sorry folks, but I never expected to live this long.


22 posted on 05/14/2025 1:06:43 PM PDT by ComputerGuy
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To: where's_the_Outrage?

I am a little over 60 years old and am in very good physical condition for my age. I walked 190 miles in two weeks last year on a job step challenge.

I am going to work until I am 69 because I vest for a pension then. I retired from another job two years ago and get a small pension for that.

I am either going to take mine at 62 or 65, but cannot fully decide at the moment.


23 posted on 05/14/2025 1:09:20 PM PDT by Preachin' (I stand with many voters who will never vote for a pro abortion candidate.)
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To: where's_the_Outrage?

This is an interesting thread to read for some of us slightly younger folks. We don’t learn much about this stuff and it will probably get sprung on us all at once some day.

Seems like most of the commenters don’t regret starting early, and I have taken note.

The one thing that gives me pause is that, although fate can befall any of us at any time, there is a lot of longevity in my family tree. Almost all of my fore-bearers lived to their 80s and 90s.

Do your social security benefits actually end or get drained if you live long enough?


24 posted on 05/14/2025 1:09:51 PM PDT by z3n (Kakistocracy)
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To: where's_the_Outrage?

I depends upon a person’s employment income. I have worked for over 40 years helping people to retire and still get income from their businesses.

Rent on the business property is the easiest as rental income does not have a Social Security offset.

I’ve actually gone into appointments with clients to get them Social Security.

One should NEVER retire early due to health reasons. Go the disability route and get full benefits and Medicare after 2 years on disability.

Generally, it takes about 12 years of collecting the higher benefits rather than collecting early. Under the old laws, if you retired at 62, you got a 20% reduction in benefits. However, that means you collected 80% for 36 months.

80% x 36 months ÷ 20% = 144 months or 12 years just to collect the deferred benefits.

The calculation is a bit more complicated under the new laws with full retirement at age 67.


25 posted on 05/14/2025 1:11:19 PM PDT by tired&retired (Blessings )
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To: greatvikingone

My sense is that those who take it early tend to be in more need for money, but by taking it they are likely to work less and so end up with less. Of course, nothing applies to everyone.


26 posted on 05/14/2025 1:11:20 PM PDT by 9YearLurker
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To: where's_the_Outrage?

I took it immediately at 62. My family mostly dies before age 80. I wanted some “stupid” money. That is, if we pay a parking ticket or misplace something and buy another one, it’s no big deal. Aisle seat on the airplane? No problem. Peace of mind is the goal, and this helps. We cannot squeeze a nickel as hard as we used to. And, thank God, we do not seem to need to.


27 posted on 05/14/2025 1:11:59 PM PDT by married21 (As for me and my house, we will serve the Lord.)
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To: where's_the_Outrage?

You need to consider that the extra amount you get has to catch up to all the years you were getting money if you take it earlier. To me, the difference between 67 and 70, is about 82 years old before the 70 starts to have a net overall benefit. Sorry, I am not going to bank on that. 70 is a suckers bet in my opinion.


28 posted on 05/14/2025 1:12:57 PM PDT by Codeflier (Don't worry....be happy)
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To: where's_the_Outrage?

Here is the single most important piece of advice before retiring.

HAVE NO DEBT or as little debt as possible. PERIOD.

Of course there are a bunch of other health factors. I work with a guy that is part of a family with a very short life span and he is going to hold out until 60 which is probably stretching it for him.

The other factor can be savings and investments other than SS income along with lifestyle expectations after retirement.


29 posted on 05/14/2025 1:13:39 PM PDT by copaliscrossing (The truth is always your friend.)
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To: where's_the_Outrage?

Same. I did the math. If I waited until full retirement age, I would break even at age 80. At 80, with the difference, I would be able to buy the deluxe mobility scooter.


30 posted on 05/14/2025 1:13:59 PM PDT by Right Brother (I don't really care Margaret.)
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To: where's_the_Outrage?

I was making good money working - I worked until I was 73.
Didn’t make sense for me to take it before turning 70.
I would have lost a lot to taxes
So I waited till 70 and it was the right decision for me- not for all - but for me.


31 posted on 05/14/2025 1:14:13 PM PDT by Palio di Siena (Kralik…..you get the wallet)
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To: nuconvert

Right!!!


32 posted on 05/14/2025 1:14:39 PM PDT by quilterdebbie (We will endeavor to persevere!)
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To: Owen

The “breakeven age” was not a consideration for me, never tried to calculate it.

I almost feel sorry for those that only have SS for retirement, but in most cases that was an individual choice. So it’s in their interest to work longer and wait.

I retired at 56 for personal reasons which is too bad as I still miss working.


33 posted on 05/14/2025 1:15:14 PM PDT by where's_the_Outrage? (Drain the Swamp. Build the Wall.)
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To: nuconvert
"Take the money and enjoy life while you can."

^^^ THIS ^^^

34 posted on 05/14/2025 1:15:41 PM PDT by Sicon ("All animals are equal, but some animals are more equal than others." - G. Orwell)
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To: af_vet_1981

Already there my friend.

The Bible has much to say on the subject of money.....and none of it good that I’ve ever read.


35 posted on 05/14/2025 1:16:09 PM PDT by V_TWIN (America...so great even the people that hate it refuse to leave!)
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To: where's_the_Outrage?
“Looking back, I would’ve wanted that extra money when my wife was still around.”

Everyone here on this site needs to remember this. If you wait, you may not get it or get it alone. My wife retired at 65 as her health got to bad to continue. She made it another year and a half, 6 months of which were in the hospital. She didn't get to enjoy any of it really.

Don't listen to these people telling you to wait to retire or to get your money. Doesn't do you any good if you are dead, and you got no one to enjoy it with...

36 posted on 05/14/2025 1:17:47 PM PDT by packrat35 (Pureblood! No clot shot for me!)
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To: PGR88
I’m not close to Soc. Sec. age yet, but I operate under the general premise: “a promise from politicians means nothing, so its better to get what you can, as soon as you can”

Agreed, which is one reason my wife and I will start collecting SS as soon as we each turn 62.

Another reason is for those of us who do retirement financial planning independent of SS and plan to retire before we can collect SS. For us, the SS check will be gravy on the top.

Also, another way to look at it is, the sooner I start collecting SS, the more I can put into our retirement investments (Roth IRA's and Roth 401K as long as my quasi-retirement income doesn't exceed the maximum income limit for Roth contributions). So if you're still working at 62 and don't need the SS check, start drawing it anyway and invest it. Or if you're retired and financially set to not need the SS check, take it early anyway so that you have to withdraw less from your investments for money to live on (thus the investments grow more and help you beat inflation, which delaying SS doesn't do as good at).

37 posted on 05/14/2025 1:18:35 PM PDT by Tell It Right (1 Thessalonians 5:21 -- Put everything to the test, hold fast to that which is true.)
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To: where's_the_Outrage?

Thanks
bkmk


38 posted on 05/14/2025 1:18:37 PM PDT by Faith65 (Isaiah 40:31 )
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To: where's_the_Outrage?

67.5 made the most sense for me. I think that is “full” retirement age for my group.

No matter when you take it the NPV is just about the same for a given life span.


39 posted on 05/14/2025 1:19:37 PM PDT by Sequoyah101 (Donald John Trump. First man to be Elected to the Presidency THREE times since FDR.)
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To: where's_the_Outrage?

12 years ago, I compared the two streams - if I took the lower amount early or the maximum starting at 70.

I don’t remember the exact numbers, but it was a slam dunk in favor of taking it early. Basically, if I waited until 70, it was going to take me until I was around 85 to break even with the sum total of earlier stream.

Hell, I don’t even know if I’ll even live that long!

Then, I did a NPV analysis, assuming I was earning interest on the accumulated balances of the two streams. This is more realistic, since, according to opportunity cost theory, even if you aren’t earning interest, or paying down debt, you have the opportunity to do so, so the earlier you receive money, the more value it has.

When I compared the two streams that way, it was even more of a slam dunk - the break even was something like age 90.


40 posted on 05/14/2025 1:20:09 PM PDT by enumerated (81 million votes my ass)
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