Social Security benefits help millions of Americans pay their living expenses in retirement. Even though Social Security can be complicated, there's an easy way you can increase the monthly payments you get from Social Security.
In the following video from The Motley Fool's series on retirement investing, sponsored by TD Ameritrade, Fool consumer finance expert Dayana Yochim talks to Dan Caplinger, the Fool's director of investment planning, about this simple way to get more from Social Security: Avoid taking your benefits at the first possible moment. Dan notes that although you can take benefits as early as age 62, there's a high price you'll pay to do so, with benefits as much as a third lower than if you wait until age 66. Moreover, Dan points out that waiting until age 70 is even better, as you get an 8% addition to your monthly check for every year you wait beyond age 66. With so many people misunderstanding this simple rule, Dan concludes that as simple as it sounds, delaying Social Security can be the best financial move you'll ever make in retirement.