The Social Security Administration (SSA) allows Americans to retire at the age of 62. But is it wise to claim retirement benefits as soon as you can? Or is it best to delay retirement?
Of course, you will need to take into account your personal situation. Whether you are healthy enough to carry on working or not is key. Another thing to bear in mind is the type of work you do.
Physically demanding jobs could be a real challenge at 62. Savings, investments, and retirement accounts are of vital importance too. Money is something people cannot live without it.
What are the key factors that affect my Social Security retirement benefits at 62?
Once you reach the age Social Security allows you to retire, do not forget about 4 essential things. The age you retire, your normal retirement age, the money you earned, and the number of years you worked for.
Not everyone can choose the age to retire because sometimes their work is physically challenging. But if you can choose it there are a few things you need to know.
In the first place, early retirement means you are not collecting 100% of your Social Security retirement benefits. It will not be until you are 66 and six months old if born in 1957 that you can get full payments.
Early retirement is great if you have plenty of money saved as well as other sources of income. Having a mortgage or loans may prevent you from early filing for Social Security.
What is the best age to retire and collect Social Security?
If your retirement age is 67, the best age to retire is 70. This is best from a financial point of view. More and more seniors rely on Social Security and it is becoming an essential part of their income.
Remember that every year you delay filing for Social Security, you get a reward. This financial reward is not something many retirees can turn down. It represents an 8% increase and it could be much more.
Those who manage to wait until they are 70 can receive a 24% extra payment every month. If your check at Full Retirement Age is $2,000, it could be $2,480 at the age of 70. With skyrocketing inflation and soaring prices for food and services, saying no to such a lot of money could be a financial mistake.
Are you interested in receiving @SocialSecurity spousal benefits? A calculator is available to help you understand the effect of this choice on your #retirement.
Find out if you qualify and estimate the amount you could receive. ? https://t.co/rrVTjijR0u pic.twitter.com/pbuHhiUPFH
— USAGov (@USAGov) November 5, 2023
A report from United Income revealed that most seniors would be much better from a financial point of view if they retire when they are 70 years old. Use your Social Security annual statement to see future retirement amounts, it will help you make up your mind.
