What is the Earliest Age for Social Security?

Whether your retirement is two or 20 years out, planning financially is a responsibility all of us must undertake to ensure that we will continue to live comfortably after we retire. One of the biggest questions we get asked when discussing retirement is about the earliest age for social security payouts. Today, we will walk you through the items to consider and provide some high level suggestions on how to plan for social security.

What is the Earliest Age for Social Security?

There are three age brackets for taking social security. First, the earliest age for social security benefits that anyone can get is age 62. Second, one can wait until Full Retirement Age at age 66 or 67 depending on the year you were born. Lastly, one can delay social security to a maximum of 70 years old.

Many individuals start taking social security at age 62 when they retire or partially retire. They may also take social security benefits because they are no longer fit to work, need more income, have critical health concerns, or have insufficient retirement savings.

Now, you may be thinking, “Why would anyone wait to get money?” Some individuals choose to wait because of the increased earnings in delayed distribution. Speaking plainly, by waiting, one’s social security payments will grow by 8% each year, and their survivor benefits will increase as well. Therefore, this option will provide more money later down the line.

Alternatively, some individuals choose to wait rather than cashing in at the earliest age for social security due to their unique circumstances. For some, taking social security earlier may not be as beneficial as waiting. Each circumstance is unique and it is important to consult iwht an advisor to run the numbers and plan out the value of your retirement to ensure your money lasts as long as you do.

What to Consider When Taking Social Security

Before deciding on your date to start taking social security, we recommend considering the following questions. These questions will help you determine if you should begin at the earliest age of social security, wait for full retirement age, or delay even further.

• How long will you realistically live?
• How long do you plan to keep working?
• What is the income status of your family?
  • Do you have multiple sources of income?
  • Do you have passive income?
  • How could social security benefits affect your tax situation?
• How long have you contributed to social security?
• What is your marital status?
• If you have a surviving spouse:
  • Is there a significant age gap?
  • Are you a dual-income family?
  • Are there survivorship concerns?

This is a bare-bones list of questions that will factor into determining when the “right” time to take social security will be for you. There isn’t a clear answer that meets the needs of every person; therefore, it is vital that you talk with an experienced retirement planner to understand all of your options and to evaluate which one is best suited for your life.

Retirement Planning with Dewitt & Dunn

Contact us today to customize a retirement plan that meets your unique situation and to know your options for the earliest age for social security. Curious about how much money you can expect to get when you collect social security? Click here to use the Social Security Quick Calculator.