Warning as most Americans ignore the easiest Social Security advice at a cost of tens of thousands

UK Daily Mail ^ | 10/23/2025 | Tilly Armstrong

[fruser1]

Almost all Americans say they are planning to ignore a key piece of Social Security advice, which means they will miss out on higher monthly payments.

Only 10 percent of those still working plan to wait until they are 70 before they start claiming benefits, according to findings from investment firm Schroders.

Americans can begin claiming Social Security as early as 62, but doing so permanently reduces their monthly payments.

To receive a full retirement benefit, workers must wait until their full retirement age, which stands at 67.

However every year after full retirement age that Americans delay claiming Social Security, their payment will increase by 8 percent.

According to a study from the National Bureau of Economic Research, people who claim before age 70 are wasting an average of $182,000.

Link to Study

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TOPICS:
KEYWORDS: socialsecurity; ssadvice; sswarning

[Repealthe17thAmendment]

I'm 64, still working, and have not taken SS yet. My plan is to quit working when I'm 65, and hold off on taking SS until I need the money. I have some savings and investments that I could draw on if I needed to.

My wife has a good pension that covers almost all our living expenses but health insurance will become an issue when I quit working.

Basically, I'd like to wait as long as I can to take SS, but the circumstances might change.

[Mr Rogers]

I took it a few months prior to full retirement age. My breakeven, IIRC, was around 80. I’m in good shape but by 80 I know I just won’t travel as much. The income now does more to set me up for future enjoyment than getting a little more when I’m 80+. I can still hike miles now - but at 85?

And in truth, I have always assumed I would not collect ANY SS. I do have military retirement and I would not be surprised if, 5-7 years from now, the US government decides a retired military officer doesn’t DESERVE full SS benefits and cuts mine 50% or more.

[PalominoGuy]

....Great plan since Spouses benefits are an IMPORTANT part of SS, and the higher your benefit, the higher hers will be when you are gone (unless she widely outearns you) so waiting can give you at least a 34% larger lifetime benefit and taking it at 62 can reduce the benefit FOR THE REST OF YOUR LIFE by over 33%. Worth thinking about and calculating (I advise and educate on how SocSec works)... ymmv

[faucetman]

What a CROCK! Claim as early as you can! They want you to wait so that you DIE before you collect.

Retired at 62. Been collecting for 13 almost 14 years now. Not JUST collecting, I no longer had to go to work at 62.

Don’t get GREEDY. Retire NOW! (as soon as you can)

[PalominoGuy]

...oh for heavens sake! IF you are married WAITING is Great for the spouse that gets YOUR often higher benefit. It depends on : Health, Assets, spouse’s benefits - Both, and world view... so every situation is unique based on career, bloodlines, work history and luck! ...ymmv

[ChinaGotTheGoodsOnClinton]

Good for you. I realize there is an adjustment for inflation, however, I bet that real inflation is going to be much higher than inflation and a dollar today will be worth significantly less in the future.

[AppyPappy]

Before you reach full retirement age, you will be penalized for working while drawing. I had to wait until the year I reached full retirement age to retire. Then I went back to work and collected money for a while.
You want to avoid the penalty.

[AlaskaErik]

I plan to collect at 70. Not uust because both my parents are long lived and and still alive in late 80s and 90s, but because my wife is 14 years younger and will largely live off my ss.

Too many people are just focused on breakeven point. My wife and I both waited until we were 65 to start collecting because we know that one of us will most likely outlive the other and it's better to have a larger SS income when that happens. We certainly didn't need the money at age 62.

[BobL]

If delaying Social Security caused the date of my death to be delayed the same amount of time, then I would agree that putting off SS makes sense. Otherwise, not as simple as ‘they’ want us to believe.

As it is, I delayed anyway, since I don’t eat carbs anymore.

[Tell It Right]

I read (or heard on the radio) some financial advisor say that if you begin taking your SSI money at age 62 and invest it all in a mutual fund until you turn 70, then in the long run you'll have more money than if you wait till you're 70 to claim your SSI benefits.

Bingo! My wife is retired and I'm quasi-retired, neither of us are 62 yet. We invested well IMHO into retirement accounts with half of them in Roth accounts (growing tax free). I'll probably quit working when my wife turns 62 and she'll collect SS, then I'll collect it when I turn 62. The idea is that collecting SS sooner equals not having to withdraw as much from our Roth IRAs at that time.

Eventually, the cost of living will increase (inflation) more than the SS check grows and we'll start withdrawing from our Roth IRAs too. But they'll be higher because we gave them more years to keep growing (tax free) before we started pulling from them.

[nitzy]

I still have quite a few years before I am able to draw Social Security.

While I understand the math and acknowledge that my parents waited until 70 and thus received more, there is a social aspect to this too.

When I reach retirement age, the people who will be actively funding my retirement (there is no lock box) and who will be VOTING on whether they should continue to fund it....are the 3M’s

Muslims, Mexicans and Millenials

I have absolutely no faith that they will continue to fund the retirement of this old, Christian, racist white guy.

It ain’t happening. I’m taking mine as soon as I can get it while it lasts.

[Ruy Dias de Bivar]

Dad retired at 62 and died at 70. I figured I would probably last that long. I am still going at 79 years of age.

You don’t know how long you will live so better retire at 62 or what it is now. In the first SS plans you could retire at 62 years of age but the average life span was 57 years meaning they would not have to pay out for many. Then came penicillin.

[Retain Mike]

I figured breakeven at 75, so I started at 62. I am behind now, but being alive is a nice tradeoff.

[brooklin]

My wife’s parents lived into their 90’s. She died at age 60.

[redfreedom]

I retired at 62 and my planning did the same calculations you did, and I got similar results.

Other factors are life expectancy. If we are sickly or our parents had short lives, one is better off taking it early.

If another rat regime comes to power, they could find a way to reduce monthly SS payouts.

I do not regret taking it early, it’s a wonderful addition to other retirement income.

My wife held off until age 70 because while she was waiting she drew off of my account while her account was growing. She made out like a bandit.

[Lazamataz]

My retirement plan is to keel over in my home office.

[WASCWatch]

I started collecting when I turned 62. I was diagnosed with metastatic prostate cancer when I was 61. I was given a life expectancy of 3-5 years, so taking SS at 62 was a no brainer.

It’s been 11 years since my diagnosis, and my oncologist said I will likely never die from prostate cancer since I’ve responded to low level treatment.

When I was fist diagnosed, I figured out my break even age would be about living to be almost 80. Taking it early has meant having even more financial freedom.

[kenmcg]

Think about health (smoking or drinking) how long did parents live, any other income, etc.

[napscoordinator]

Now that social security is 67. Wouldn’t it be prudent to make Medicare 67?

[dragnet2]

IF you die early, you don’t know the difference. IF you live long, economically you may suffer IF you took the

Lots of "if's" there pal. Me, I'll take the money as soon as possible. But you putting off taking the money works perfect for me as well!