For retirees, the age at which you claim Social Security can dramatically affect lifetime benefits. Choosing too early can reduce monthly payments by hundreds of dollars, potentially costing tens of thousands over time.
Understanding The ‘Breakeven’ Age
The “breakeven age” is when delaying Social Security benefits results in higher lifetime payments than claiming earlier. For someone with a full benefit of $2,000 at 67, claiming at 62 cuts it to $1,400, while waiting until 70 raises it to $2,480. The breakeven point for 62 versus 67 is around ages 78–79, and for 62 versus 70, roughly 80–82, adding about $1,080 per month thereafter.
According to a Nationwide survey, only 13% of Americans can correctly identify their full retirement age.
Health, longevity, marital status, other income, and ongoing …
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