Overview
- Recent analyses reported that delaying claims to age 70 raises monthly checks and increases lifetime benefits for the majority of workers.
- The National Bureau of Economic Research found that over 90% of workers would be better off waiting to 70, yet only about 10.2% actually do so.
- Claiming early cuts benefits sharply because Social Security reduces payments for early filers while awarding credits that grow benefits for each year claimed up to 70.
- A commonly used example shows a $2,000 baseline benefit falling to about $1,400 at age 62 and rising to roughly $2,480 at age 70 to illustrate the scale of the shift in monthly income.
- The system was designed when life spans were shorter, so longer current lifespans help delayed claiming pay off, but spousal-benefit claimants are a clear exception and should evaluate a different claiming strategy.