HomeFinance NewsPersonal financeUnveiled: Secret to Maximizing Social Security Retirees Miss Out On

Unveiled: Secret to Maximizing Social Security Retirees Miss Out On


Most retirees don’t delay Social Security benefits, research finds. Here’s why experts say it pays to wait


When deciding when to start receiving Social Security retirement benefits, there’s more to consider than just the monthly amount.

Experts recommend waiting until your full retirement age or even later, as it results in higher lifetime benefits.

For those reaching age 65 this year, claiming benefits at age 62 would reduce their monthly payments by 30%.

The full retirement age, when you receive 100% of your earned benefits, varies between 66 and 67 depending on your birth year.

Claiming benefits before full retirement age can have significant penalties, while waiting past full retirement age provides an 8% benefit boost per year up to age 70.

However, the majority of retirees claim benefits before age 65 despite the potential benefits of waiting.

Experts recommend considering not only monthly benefits but also lifetime benefits, longevity protection, and immediate needs when making a claiming decision.

Waiting until age 70 offers the maximum benefit, but only a small percentage of beneficiaries delay until then.

If delaying for several years is not feasible, Ghilarducci suggests delaying for even a few months to increase lifetime benefit income.

This can provide a bridge to a higher Social Security benefit amount and improve your financial security in retirement.

  • Overall sentiment: neutral
  • Positive

    “Social Security benefits are one of the few sources of guaranteed income for many retirees.”

    “Those who can’t delay their Social Security benefits for years can still increase their lifetime benefit income by delaying for just a few months.”


    “Claiming at age 62 comes with significant penalties, experts say.”

    “Most people know that early claiming will result in reduced benefits, a Schroders survey from 2023 found.”

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