If you claim Social Security at age 62 you will receive about 30 percent less each month than if you wait until your full retirement age of 67. Delay past full retirement age and your benefit grows by 8 percent a year up to age 70.
That adds up to real money over a retirement that can last 20 or 30 years. The average benefit in 2025 is 1,920 dollars a month at full retirement age. Claim at 62 and it drops to roughly 1,344 dollars.
Wait until 70 and it rises to about 2,586 dollars. The right choice depends on your health, your spouse's age, and whether you plan to keep working. Most people claim too early and lose tens of thousands of dollars they cannot get back.
This column gives you the plain numbers and the questions to ask so you protect your wallet for the long run.
Full Retirement Age and the Basic Reduction
Full retirement age is 67 for anyone born in 1960 or later. Claim at 62 and your monthly check is cut by 30 percent. That reduction stays in place for the rest of your life.
For example, a worker entitled to 2,000 dollars at full retirement age would receive only 1,400 dollars at 62. The Social Security Administration reports that 40 percent of retirees claim at 62.
Early claiming made sense when life expectancy was shorter. Today a 65 year old man can expect to live to 84 and a woman to 86 according to the Centers for Disease Control and Prevention life tables.
Claiming early costs you money every single month for decades. If you were born between 1943 and 1954 your full retirement age is 66. The reduction at 62 is still 25 percent in that case.
These percentages come straight from the Social Security benefit formula and cannot be changed by Congress without new legislation.
Delayed Retirement Credits
For each year you wait past full retirement age your benefit grows by 8 percent until you turn 70. That is two thirds of 1 percent per month. A worker with a 2,000 dollar full retirement age benefit who claims at 70 receives 2,640 dollars each month.
Over 20 years that extra 640 dollars a month totals 153,600 dollars before cost of living adjustments. The Social Security trustees report that only about 5 percent of retirees wait until 70.
If you are in good health and have other income sources waiting can be one of the best financial decisions you make. The credit stops at 70 so there is no reason to delay past that birthday.
These delayed credits also increase the survivor benefit your spouse would receive if you die first.
Spousal and Survivor Strategies
A spouse can claim up to 50 percent of your full retirement age benefit if he or she waits until their own full retirement age. At age 62 the spousal benefit is reduced to about 32.5 percent.
If you die first your widow or widower can step up to 100 percent of the amount you were receiving including any delayed credits. That makes delaying even more valuable for couples.
Divorced spouses married at least 10 years can also claim on your record without affecting your benefit. The Government Accountability Office studied these rules in 2022 and found that many couples leave money on the table by claiming too soon.
File and suspend is no longer allowed but you can still coordinate claims after full retirement age to maximize survivor protection.
Working While Claiming
If you claim before full retirement age and still work Social Security withholds 1 dollar for every 2 dollars you earn above 22,320 dollars in 2025. The withheld amount is not lost.
It is added back when you reach full retirement age. After full retirement age there is no earnings test. The average worker in their 60s earns about 55,000 dollars according to Bureau of Labor Statistics data.
That means early claimants often see temporary reductions. Those who keep working past 62 usually come out ahead by delaying their claim. The earnings test applies only until you reach full retirement age.
Break Even Math
It usually takes 12 to 15 years for the higher benefit from waiting to make up for the checks you did not receive. If you claim at 62 instead of 70 you get smaller checks for eight years but larger checks afterward.
A single person in average health breaks even around age 78 or 79. Couples should consider the longer life expectancy of the surviving spouse. The Social Security Administration provides a break even calculator on its website.
Use your own numbers. A healthy nonsmoker with family history of long life should lean toward waiting. Someone with serious health problems may do better claiming at 62 or 66.
Taxes and Medicare Premiums
Up to 85 percent of your Social Security benefit can be taxable depending on other income. Higher monthly benefits from delaying can push more of the benefit into taxable territory.
Medicare Part B and Part D premiums also rise with income through the Income Related Monthly Adjustment Amount. In 2025 individuals with modified adjusted gross income above 106,000 dollars pay higher Part B premiums.
Delaying Social Security can sometimes keep you in a lower tax bracket in your early 60s while you draw from retirement accounts. A 2023 study by the Center for Retirement Research at Boston College found that taxes change the optimal claiming age for about one in four households.
Steps to Decide Your Claiming Age
First create a my Social Security account at ssa.gov to see your exact benefit at 62, full retirement age, and 70. Second list all your income sources including pensions, 401k withdrawals, and part time work.
Third run the numbers in the Social Security quick calculator or a spreadsheet that shows total lifetime income under each choice. Fourth talk with your spouse about life expectancy and cash flow needs.
Fifth consider inflation. Cost of living adjustments average 2.6 percent a year over the past 20 years according to the Bureau of Labor Statistics. Higher starting benefits protect you better against inflation.
Finally decide by age 65 at the latest so you have time to adjust savings if you plan to wait.
Lifetime Benefits for $2,000 Full Retirement Age Benefit
| Claim Age | Monthly Benefit | Total by Age 85 |
|---|---|---|
| 62 | $1,400 | $386,400 |
| 67 | $2,000 | $432,000 |
| 70 | $2,640 | $475,200 |
The best claiming age is different for every household. Healthy couples with good savings usually gain the most by waiting until 70. Singles in poor health may choose 62.
Run your own numbers using the free tools at ssa.gov. Do not rely on the break even myth you hear at parties. Factor in your real life expectancy, taxes, and what your spouse would receive as a survivor.
Claiming later is one of the few ways left to buy yourself a larger guaranteed inflation adjusted income for life. Make the decision with clear math instead of emotion. Your future checks depend on it.
Sources
- Social Security Administration, 'Retirement Benefits,' SSA.gov (2025)
- Center for Retirement Research at Boston College, 'When to Claim Social Security,' Issue Brief 23-12 (2023)
- U.S. Government Accountability Office, 'Social Security Claiming Strategies,' GAO-22-104554 (2022)
- Bureau of Labor Statistics, 'Consumer Price Index Historical Data,' BLS.gov (2025)
- Centers for Disease Control and Prevention, 'National Vital Statistics Reports, Life Expectancy,' CDC.gov (2024)