This report discusses the pros and cons of taking social security early (say at age 66, Full Retirement Age) versus deferring such decision (to say age 70). The delayed decision indicates on its face a more valuable decision since in 2022, the maximum social security benefit at age 66 is $3,240 per month but if deferred to age 70, the benefit increases to $4,194.
There are many more issues to consider other than an indicative bigger check amount, and this report discusses most of those issues.
This report presents a detail analytical assessment, that indicates, based on financial results, the better decision is to take a beneficiary Full Retirement Age social security early, say at age 66.
Conclusions of the report…
- GENERALLY, IT IS MORE BENEFICIAL TO TAKE FULL RETIREMENT AGE SOCIAL SECURITY BENEFITS EARLY (SAY AT AGE 66) AND NOT LATER (SAY AT AGE 70)
- TAKING SOCIAL SECURITY BENEFITS EARLY, LOCKS IN BENEFIT VALUE TAKEN, SINCE UPON DEATH SUCH BENEFITS CEASE (ANY OUTSTANDING BENEFITS ARE NOT INHERITABLE)
- NET PRESENT VALUES OF CASES ASSESSED WERE ALWAYS HIGHER FOR THE EARLY ELECTION, AND FROM A FINANCIAL VIEWPOINT, THE BETTER DECISION.
- A BENEFICIARY GENERALLY WOULD HAVE TO LIVE IN EXCESS OF 100 YEARS (109 IN MOST CASES ASSESSED) FOR THE DEFERRED SOCIAL SECURITY NET PRESENT VALUE TO BREAK EVEN WITH THE EARLY SOCIAL SECURITY NET PRESENT VALUE.
- https://ino-consumerhelp.com/wp-content/uploads/2022/04/When_to_start_taking_Social_Security_benefits.pdf
