When to begin getting Social Security is a vital retirement option that will have long-term effects on your finances. If you apply when you’re 62, your monthly pay might decrease by 30%. Putting off benefits until age 70 might make payments higher. Experts have determined the ideal Social Security age, and their findings are unambiguous.
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Balancing Financial Gains and Early Retirement Dreams
United Income examined retiree income and claims in 2019. The research found that only 6.5% of retirees claimed benefits at 62 or 63, the fiscally desirable option.
However, 57% of retirees could have maximized Social Security income by waiting until 70. A typical retired household loses $111,000 in lifetime income by claiming late.
For most older folks, waiting till 70 is better financially. Taking benefits at 62 makes sense. With enough retirement savings to retire early, a smaller gift may be worth it. Early benefit claims help lifespan-conscious people.
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Navigating Choices for Optimal Retirement Benefits
Think about your spouse’s Social Security. One spouse can claim early retirement income at 62 and another at 70 for more significant benefits. When to claim Social Security depends on income, health, and spouse.
Consider the benefits and cons of early vs. delayed claims. While waiting until 70 is often the most significant financial choice, claiming at 62 has benefits.
Seniors can make informed decisions by weighing the advantages and drawbacks. Retirees must understand Social Security planning to secure their finances.
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