Personal Finance

4 Reasons to Claim Social Security as Early as Possible | Personal Finance

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2. You have questions about longevity

This requires an individual break-even analysis to fully calculate, but it doesn’t make sense to wait to claim benefits if you’re not expecting an above-average life span.

In one example, say you were to take Social Security at age 62 and receive $1,600 per month; also imagine that if you were to until age 67, you would receive $2,500 per month. Very generally speaking, you’d need to live until nearly age 80 to receive the same amount of money in both scenarios. Unless you actually live until your late 70s, you’ll come out ahead by claiming benefits sooner.

If you have concerns about your longevity, taking Social Security as soon as you’re eligible can be a smart choice. You’ll want to start the stream of benefits at the earliest juncture possible, which is akin to cashing in your chips early to guarantee that you receive as much as you can during your 60s and early 70s.

3. You don’t plan to work in retirement

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