Depending on your situation, taking SS early (62) may actually be better. Using your formula, if full monthly benefits at 66 1/2 are $2000 and early benefits are $1500, you will leave 54 months of benefits on the table. This amounts to $81,000. Divide $81k by the $500 difference and you get 162 months (13.5 yrs.) of unpaid benefits. Add 13.5 to 66.5 and you don’t break even until you are 80. I contend that you can use more money in your active 60’s than your sedentary 80’s.
Amen! Odds are it will be easier to enjoy life at 62 than 82. The only thing you will see at 82 is the buzzard-like anticipation in the eyes of your closest relatives...spend it before they get it.
If one makes it to 80.
-2- Using SS early would allow tax free growth of some IRA money.
-3- Who knows when the SS Ponzi scheme collapses or reduces their payments.
Depending on your situation, taking SS early (62) may actually be better. Using your formula, if full monthly benefits at 66 1/2 are $2000 and early benefits are $1500, you will leave 54 months of benefits on the table. This amounts to $81,000. Divide $81k by the $500 difference and you get 162 months (13.5 yrs.) of unpaid benefits. Add 13.5 to 66.5 and you don’t break even until you are 80. I contend that you can use more money in your active 60’s than your sedentary 80’s.
Add the fact that if you don’t take it now, you may never get it at all