Claiming before 65 is kind of a pain. If you make more than 17k in addition to social security income, they reduce the social security benefit.
That said, I plan on taking it at 64. Why 64? The break even age is 80. Even someone in relatively good health, (me), can’t be guaranteed a life span. If it makes things a touch easier to start earlier, do it. The government wishes everyone would wait to 70, because the payout for them would be less overall.
So you have to wait to die before you get a chance to take SS check?
Here’s a good calculator that I’ve found helpful.
https://opensocialsecurity.com/
My dad died at 44 and mom at 68. Social security hit the jackpot over those two.
This article is BS. It all comes out to being exactly the same using actuarial tables.
Figuring average life expectancy (especially if male) you’ll pull less per month over a longer period of time.
There is really not near the downside of taking your money at 66.5 or even 62 if male because if you die a bit sooner then the actuarial tables predict.....You could screw yourself out of a lot of money. The earlier you die the less money you’ll get.
If you happen to outlive the AT, great, you might end up getting somewhat less in the long run but not significantly as it all comes out in the wash and you avoid dying shortly after taking your SS at say 70.
Some of us retired early to become caregivers for our spouse.
I originally intended to work until age 72, but retired at 70 instead. At age 69, my 65-year old wife retired, with a meager benefit. A few days after her submitting the paperwork to Social Security we got a call from a SS caseworker who wanted to talk to me. She asked if I knew I could get half the amount my wife was getting and it wouldn’t affect my retirement at all. I explained I was going to work 3 more years, and she said it doesn’t matter. Sounded like free money so I said “Sure!”.
The only bum steer in that whole deal was she signed me up for Medicare Part A (I think), saying that wouldn’t affect anything either. She lied, being on Medicare Part A meant I couldn’t have an HSA through my employer, so I lost out on $2,400 a year for 2 years my employer would have otherwise contributed to my HSA.
But, I did get about $800 a month from my wife’s benefits (hers weren’t reduced) for a little over a year when I retired and got MY full benefit instead. Best part of waiting until age 70 was SSA made a back payment to me of about $13,000 because I could have filed for benefits earlier. All-in-All it didn’t work out too bad.
In this crazy world we live in, right on the edge of Civil War 2.0, with murder and mayhem running rampant, and chaos everywhere, it’s probably a good idea to start collecting whatever payout you can get before the good ol’ US of A ceases to exist altogether. The old rules of thumb that your broker tells you to follow are a pipe dream.
The article left out the one reason I took it early. You have enough money and you expect the politicians to take your SS away.
Investment returns are as important as life expectancy
Well...maybe one of three sources. Trump wants to do away with the payroll tax.
Close co-worker friend of mine waited until 70. Most of his family lives well into their 90s. He had pensions from other companies too. He was going to cruise retirement with a ton of money. 3 weeks after his 71st birthday, they found a spot on his lungs. He was dead 10 months later.
My dad died at 69. My one grandfather was dead at 65 the other was killed on the job at 44. My one Great grandfather died at 71, the others I’m not sure.
I don’t think it’d be wise to wait until 70, for me.
I took mine as soon as I turned 62.
For one, I was no longer full time employed, but doing gigs in the new economy. Sometimes a make a huge killing, and others times not much for several months. It all came out to a middle class income, but the uncertainty was concerning.
I also got a military pension. However, I have to give half of it to my ex for life. A bad deal.
I got a state pension after 20 years teaching at a university. That was good, but I took the job knowing I’d get less but could retire again after twenty.
So, it’s worked out well for me... So far.
There is no situation better than taking Social Securityat the earliest, age 62.
It is not a fund where you or your estate own it. If you die, that’s it. There is no residue for your family.
Yes, you get a reduced amount than if you waited, but Over a normal lifespan the total is the same - it’s just spread out over a longer time. But it’s yours. It’s yours.
Yes, if your still working there’s an offset, but you get all that back later too.
Don’t listen to these advisers, experts, consultants, politicians, investors. It’s your money. Take it and run as soon as you can.
I took it 7 years ago at 67. Worked for me.
That's a huge swing. $48K per year vs barely $25K a year (or $36K at FRA). And that's not including my wife's Social Security or my 401k.
If I live to be 90 or more, I'll be happy I waited. If I die earlier, I won't care about missing out on the money because I'll be dead.
Guess it depends on how healthy I am when I turn 62 (depressingly just four years from now).
Everyon’s situation is different. So, there is no right or wrong. I waited until I was 70 (6 years ago) on purpose to get the maximum amount plus if I predecease my wife she gets half of my amount (not her’s which is much less today). My wife and my SSI Is slightly less than the average household income in our state. If I had taken it early (65). It would be one-half of my current amount.
A SS retirement at age 55 the person will live an average of 15 years or more; taken at 65 the average life span is 18 months.
I would say que Captain Obvious, but there are likely a lot of low-info types that are unaware of this fundamental aspect of SS.
I started taking mine at age 62. I was diagnosed with metastatic prostate cancer when I was 61. There is no cure, but I am responding extremely well to treatment; far,far better than most guys. I’m 67 now. As well as I am doing, making it to 79 is a very optimistic outlook.
My CPA son said I’d have to live until I am 79 to break even plus not having the money for the next 5 years. The decision was a no-brainer for me.