What's the best age to begin Social Security benefits?
Key Points
- Seniors can file for Social Security at a variety of ages.
- Age 62 is the earliest opportunity to sign up.
- Before you hurry to claim benefits at 62, consider the drawbacks of doing so.
Should you take Social Security at age 62 or 70?
You can start taking it as early as age 62 (or earlier if you are a survivor of another Social Security claimant or on disability), wait until you've reached full retirement age or even until age 70.
When should you start claiming Social Security benefits?
You get flexibility when it comes to filing for Social Security. Whether you should file upon retirement ... age 65 but don't need your benefits right away to pay your bills, then it could make sense to hold off until FRA to claim then.
What is the maximum age for Social Security benefits?
- $2,324 for someone who files at age 62
- $3,113 for someone who files at full retirement age — more on this below
- $3,895 for someone who files at age 70
What is the average Social Security benefit at age 62?
According to payout statistics from the Social Security Administration in June 2020, the average Social Security benefit at age 62 is $1,130.16 a month, or $13,561.92 a year.
Can you take Social Security at 62 and still work?
Can You Collect Social Security at 62 and Still Work? You can collect Social Security retirement benefits at age 62 and still work. If you earn over a certain amount, however, your benefits will be temporarily reduced until you reach full retirement age.
What is the earliest age you can draw your Social Security?
age 62You can start receiving your Social Security retirement benefits as early as age 62. However, you are entitled to full benefits when you reach your full retirement age. If you delay taking your benefits from your full retirement age up to age 70, your benefit amount will increase.
Can I collect Social Security at age 55?
So can you retire at 55 and collect Social Security? The answer, unfortunately, is no. The earliest age to begin drawing Social Security retirement benefits is 62.
Is it better to take Social Security at 62 or 67?
The short answer is yes. Retirees who begin collecting Social Security at 62 instead of at the full retirement age (67 for those born in 1960 or later) can expect their monthly benefits to be 30% lower. So, delaying claiming until 67 will result in a larger monthly check.
How much money can you have in the bank on Social Security retirement?
$2,000You can have up to $2,000 in cash or in the bank and still qualify for, or collect, SSI (Supplemental Security Income).
What is the average Social Security benefit at age 62 in 2021?
At age 62: $2,364. At age 65: $2,993. At age 66: $3,240. At age 70: $4,194.
Can I retire at 57 and collect Social Security?
The short answer is no, you're not eligible to receive Social Security retirement benefits at age 57. The earliest you can begin taking Social Security for retirement is age 62. So if you plan to retire at 57 you'll be waiting at least five years before you can claim those benefits.
How much will Social Security pay me at 65?
If you start collecting your benefits at age 65 you could receive approximately $33,773 per year or $2,814 per month. This is 44.7% of your final year's income of $75,629. This is only an estimate. Actual benefits depend on work history and the complete compensation rules used by Social Security.
What is the rule of 55?
However, the IRS has established the rule of 55, which allows those who leave a job in the year they turn 55 or later to remove funds from that employer's 401(k) or 403(b) without having to pay a 10% early withdrawal penalty.
What happens to my Social Security if I stop working at 55?
If You Stop Work Before You Start Receiving Benefits Years with no earnings reduces your retirement benefit amount. Even if you have 35 years of earnings when you stopped working, some of those years may be low-earning years.
How much is enough to retire 55?
Experts say to have at least seven times your salary saved at age 55. That means if you make $55,000 a year, you should have at least $385,000 saved for retirement. Keep in mind that life is unpredictable–economic factors, medical care, and how long you live will also impact your retirement expenses.
What does it mean to delay retirement benefits?
If you are the higher earner, delaying starting your retirement benefit means higher monthly benefits for the rest of your life and higher survivor protection for your spouse, if you die first.
Is it important to decide when to start receiving Social Security?
Choosing when to start receiving your Social Security retirement benefits is an important decision that affects your monthly benefit amount for the rest of your life. Your monthly retirement benefit will be higher if you delay claiming it.
What is the earliest age you can collect Social Security?
Earliest Normal Social Security Eligibility Age: 62. Even though you can begin receiving benefits as early as 62, that doesn't mean you should start taking them at that age. This is primarily because you will receive reduced benefits. 4 If you want a larger amount of guaranteed income later in retirement, then waiting to begin benefits ...
What is the full retirement age?
Full Retirement Age: Age 65–67 Depending on Date of Birth. Your full retirement age is determined by your day and year of birth, and it is the age in which you get your full amount of Social Security benefits. For every year you delay taking your benefits from full retirement age up until you turn 70, your benefit amount will increase by almost 8% ...
What happens if you don't reach full retirement age?
If you have not reached your full retirement age, and you are still working and earn more than the earnings limit, your benefits will be reduced. 3 Once you reach full retirement age, no more reductions will apply, regardless of how much you work and earn. Those working will want to consider waiting until their full retirement age ...
Apply for Retirement Benefits
Starting your Social Security retirement benefits is a major step on your retirement journey. This page will guide you through the process of applying for retirement benefits when you’re ready to take that step. Our online application is a convenient way to apply on your own schedule, without an appointment.
Ready To Retire?
Before you apply, take time to review the basics, understand the process, and gather the documents you’ll need to complete an application.
Ways to Apply
You can complete an application for Retirement, Spouse's, Medicare or Disability Benefits online.
Retirement or Spouse's Benefits
You can apply online for Retirement or spouse's benefits or continue an application you already started.
Disability Benefits
You can apply online for disability benefits or continue an application you already started.
Appeal a Disability Decision
If your application for disability benefits was denied recently for medical reasons, you can request an appeal online or continue working on an appeal you already started.
Medicare Benefits
You can apply online for Medicare or continue an application you already started.
Extra Help with Medicare Prescription Drug Costs
You can apply online for Extra Help with Medicare prescription drug costs.
Supplemental Security Income (SSI) Benefits
If you want to apply for Supplemental Security Income (SSI), please read:
Retirement Age Calculator
Find out your full retirement age, which is when you become eligible for unreduced Social Security retirement benefits. The year and month you reach full retirement age depends on the year you were born.
Why Did the Full Retirement Age Change?
Full retirement age, also called "normal retirement age," was 65 for many years. In 1983, Congress passed a law to gradually raise the age because people are living longer and are generally healthier in older age.
How old do you have to be to get Social Security?
For Social Security income, the youngest age you can apply is 61 years and nine months old. You’d then receive your first Social Security check four months later—the month after your 62nd birthday. While it typically takes several weeks to process a new application, some may be approved in the same month that you apply.
When do you get your Social Security check?
The earliest you can apply for Social Security benefits is at age 61 and nine months, and you can expect to receive your first payment four months later—the month after your birthday. 1 Typically, Social Security benefits are paid the month after they are due, or must be specified.
How long does it take to apply for Social Security?
The application itself takes about 10 to 30 minutes and can be saved at any point for future completion. In addition, this application can also be used to apply for Medicare. 6. It is generally recommended that you apply ...
Is Social Security open for appointment?
As of November 2020, all local Social Security offices are open by appointment only, and only for “dire need situations,” due to the COVID-19 pandemic.
Can you calculate your full retirement age based on your birthday?
Every individual can calculate their own "full retirement age" based on their specific birthday, in order to consider locking in the maximum amount of Social Security benefits.
When can I collect Social Security if I was born on the first day of the month?
For example, if you were born on Oct. 1 or 2, 1959, Social Security considers you to be 62 as of Sept. 30 or Oct. 1, 2021.
When will Social Security start in 2021?
For example, if you were born on Oct. 1 or 2, 1959, Social Security considers you to be 62 as of Sept. 30 or Oct. 1, 2021. Your benefits will start in October 2021; you can apply for benefits in June. But if you were born between Oct. 3 and 31, your first full month at 62 is November. If you want to start your benefits as soon as possible, ...
What happens if you file for Social Security at 62?
By filing at 62, or any time before you reach full retirement age, you forfeit a portion of your monthly benefit. If you were born in 1960 or later, for instance, filing at 62 could reduce your monthly payment by as much as 30 percent. AARP’s Social Security Benefits Calculator can provide more details on how filing early reduces benefits.
When will I get my unemployment benefits if I was born in October?
There is a one-month lag in the benefit payment. If your birthday is Oct. 1 or 2, you qualify for an October benefit and it will be paid in November. If you were born later in October, your first benefit month is November and you will be paid in December.
When will unemployment start in 2021?
Your benefits will start in October 2021; you can apply for benefits in June. But if you were born between Oct. 3 and 31, your first full month at 62 is November. If you want to start your benefits as soon as possible, you can apply in July. There is a one-month lag in the benefit payment.
How old do you have to be to get spouse's Social Security?
To qualify for spouse’s benefits, you must be one of these: At least 62 years of age.
When will my spouse receive my full retirement?
You will receive your full spouse’s benefit amount if you wait until you reach full retirement age to begin receiving benefits. You will also receive the full amount if you are caring for a child entitled to receive benefits on your spouse’s record who is younger than age 16 or disabled.
What happens if your spouse's retirement benefits are higher than your own?
If your benefits as a spouse are higher than your own retirement benefits, you will get a combination of benefits equaling the higher spouse benefit. Here is an example: Mary Ann qualifies for a retirement benefit of $250 and a spouse’s benefit of $400.
