Determining what age to begin claiming Social Security is one of the most important retirement decisions you'll face, and it will affect your monthly income for the rest of your life.
You can file for benefits as early as age 62, but for every month you delay (up to age 70), you'll collect larger checks. For that reason, many experts advise waiting as long as possible to claim to earn the maximum possible payments.
However, that doesn't necessarily mean filing early is always a bad idea. There are three reasons to consider claiming at 62 -- and one great reason to hold off.
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When to consider filing at age 62
1. You can get a jump-start on retirement
You don't have to begin taking Social Security when you retire, but the two often go hand-in-hand.
If you retire in your early 60s but choose to delay Social Security, you'll need to rely on your savings and any other sources of income until you start taking benefits. While that's possible for some people, you risk running out of savings too quickly and then being forced to depend entirely on your benefits for the rest of your retirement.
When you claim benefits at 62, it's easier to retire earlier in life while still helping your savings last as long as possible.
2. It frees you up for other opportunities
Many people choose to live a life of relaxation in retirement, but others take the opportunity to focus on other goals -- like starting a business or pursuing a dream career. If this is the route you decide to take, filing for benefits early can make it easier to follow your passions.
Even if your goals aren't business-related and you simply want to travel or spend time with your grandchildren, for instance, filing for Social Security at 62 can give you more time to enjoy these activities while you're younger.
3. It may not make a difference in the long term
Claiming benefits early will result in smaller checks each month, but in theory, you should collect the same amount over a lifetime regardless of what age you file.
By filing at 62, you'll collect smaller payments but more of them in total. Delay benefits, and you'll earn larger checks but not as many over a lifetime. As long as you live an average lifespan, you should receive roughly the same amount overall no matter when you claim.
If you have reason to believe you may live a shorter-than-average lifespan, filing early could be even more beneficial. While this isn't the easiest topic to think about, if you're battling health issues and may not live well into your 80s or beyond, you could collect more in total by claiming at 62.
When it pays to delay benefits
1. You could earn substantially more per month
Perhaps the best reason to hold off on claiming Social Security is that it can significantly increase your monthly income.
Again, in theory, you should collect the same amount in total over a lifetime if you live an average lifespan. But by delaying benefits, you'll still receive much larger payments each month. If your savings are falling short, this extra money can go a long way.
The average Social Security benefit as of June 2023 is roughly $1,800 per month, according to the Social Security Administration. Say you have a full retirement age of 67 years old, and by filing at that age, you'd collect $1,800 per month.
If you were to claim at 62, your benefits would be permanently reduced by 30%, leaving you with $1,260 per month. By delaying until age 70, though, you'd collect your full benefit amount plus an extra 24%, or $2,232 per month. That's $972 more per month than you'd receive by claiming at age 62.
There's not necessarily a right or wrong time to start taking Social Security, as it will depend on your unique situation. But by understanding the advantages and disadvantages of claiming early, it will be easier to decide on the best path for you.
