I waited until the minimum age that I wouldn’t have to worry about offsetting my SS payments based on how much I made in another job—and which I’m still working at 12 years after age 62. I did look at the long term monetary benefits of drawing immediately versus waiting and decided it was an, “Eh, so what?” deal.

I also turned 62 in October and am wondering on the best timing. However, due to recent events I will probably be preoccupied with SSDI for a while anyways.

Thank you for starting this thread. At 59, I am starting to look at the benefits of collecting at 62. Right now, I am thinking 62 may be my time. I hope other will continue to chime in here.

I started collecting benefits just after I turned 66. Never stopped earning self-employed income until Covid dried up the work. My memory of my exact thinking at the time is faded, but I think I recall that I was mostly concerned about SS becoming insolvent, and figured I ought to get back at least some of what I paid in over 40 years of paying into the system before it was too late. The SS payments just about pay the Fed. income taxes on my net income, so there is that.

If the gov uses real actuaries to calculate benefits, the difference in time adjusted dollars should be negligible based on average lifespan. Less money over more time or more money over less time. Remember that money today is worth more than money tomorrow due to inflation and opportunity cost, so you have to adjust for that as well and not just do a straight line total.

If the difference is indeed actuarily negligible, drawing as soon as you are eligible is usually the best method. Just like taking the reduced lump sum in a lottery vs. payments over 20 years.

quote:

If the gov uses real actuaries to calculate benefits, the difference in time adjusted dollars should be negligible based on average lifespan

^^^^^^^^^^^
The government does whatever is politically expedient at the time no matter what any actuary might say.

Currently 69 and still working; filed for SS benefits about 20 seconds after reaching my full retirement age of 66. No regrets

I'll be 83 next month. I retired from USAF in 1980, so that retirement pay was secure. I worked commercially afterward until a retirement in Jan 2005, when I was 67. I waited until then to begin Social Security because of the way the tax laws were working and didn't want SS income while I was still working.

flashguy

I just turned 63 this month. I decided at age 62 to delay taking Social Security as long as I could. That's still my plan. I reevaluate frequently.

Due to the covid crap I am not currently working and jobs have of course dried up.

On one hand, I do NOT miss the crap at work, the office politics, lazy coworkers, backstabbers, poor management, etc.

It sucks staying at home, especially with the covid crap, so I am thankful that I have opportunities to volunteer with organizations that need such. It's very satisfying to volunteer. I'm absolutely positive I get as much out of it as those who are receiving the goods of the organization in charity. I hope that makes sense.

If you will indulge me a bit of thread drift: Staying home sucks. When you retire, or if you are out of work now, don't sit on your butt and watch TV all day. Get cleaned up, get dressed, go find things to do. I really enjoy volunteer work. Many churches have someone to coordinate organizations needing volunteers with people wanting to volunteer.

Get off your butt. Go walk, go exercise, get busy and stay busy.

I firmly believe we, each and everyone of us, needs to do a few things every day, such as physical exercise, emotional and love things, mental stimulation, spiritual things, and more.

I delayed until 70. When I was 58 my son was paralyzed in an auto accident. With his injury and the likelihood he would live with us the rest of our lives I stopped thinking about retirement and resolved to work the balance of my life.

I'm now 73 and still work every day. When I turned 67 my wife and I filed for Social Security. She began to collect her Spousal Benefit while I immediately suspended my monthly allowance. When I turned 70 my Social Security, which had increased by 8% per year began automatically.

How much longer will I work? I hope to work until I'm 80. Man plans and God laughs.

Thanks again for all the great replies! This is exactly what I was hoping to see!

So I'm the same age 62 Full retirement is 67 years and 9 months. I've been self employed for 36 years. My wife of 26 years has been at home for 23 of those so she does not have enough quarters to draw on her own. Our house is paid for and the taxes are low enough and increases Constitutionally limited so that they cannot go up faster than the inflation rate or 5% whichever is less. We have some retirement savings, not a ton but we've put back money into 401ks or IRA's when we could.

We are both in excellent health, have active lifestyles and do not suffer from any chronic illnesses or obesity. My wife's mother is 83, her father died last month at 86. My mother lived to 99. My father died at 72 after a lifetime of smoking and alcoholism. His parents died at 92 and 84. We have solid genetics for long life.

With all that considered, I am going to continue to work full time and put off applying for SS until i am 70. As my wife will get half of my benefit, every dollar I increase what I receive, she gets fifty cents so it's a buck fifty increase in reality.

I'll apply for medicare at 65, my wife the following year.

I like working, I like the things I work at. For me it's a non issue to keep working. You need to ask yourself what the return is in personal satisfaction and the freedom to be more flexible with your time.

Have you done the math to see what your payments will be at various ages? Actually crunch the numbers to get an exact amount?

I applied and started receiving checks at age 62, I'm 66 now and have no regrets that I started early.

I did the math between taking a lessor amount or waiting four years to get a greater amount. The break even point was too long to make it logical (seem to recall it was 10 years +). Another factor was that I didn't have to worry about off-setting income as I was living off my pension...which was about what my normal check was before I retired.

An unexpected benefit was that my high school aged daughter was able to collect "Survivor Benefits", until she reached age 18, on my SSA which came out to about 70% of what I was getting...and it isn't subject to taxes

quote:

Originally posted by 1967Goat:
Have you done the math to see what your payments will be at various ages? Actually crunch the numbers to get an exact amount?

You can go to the SS website and they have a calculator that will show you . The website is actually pretty user friendly .

I retired and started drawing SS in 2011 at 63 1/2. We had no bills other than taxes and utilities. We had enough investments and cash to draw on to actually have more income now than we were receiving while working. My fight against cancer in 2016 made me realize that your time on earth can end at any time, so no regrets.

The biggest concern you should have is whether you can comfortably pay for medical insurance till 65. Cobra was only $360/mo till I qualified for Medicare so it was not a big deal. That isn't the case now.

Jim

By my calculations is that if you take it early the break-even point is around age 78.
If you wait then after that age then the wait is worth it if you don't need the money now, already making too much.
You could possibly reinvest the money and do even better than the government increases.
YMMV

Mine at 66 and still work some.
Before that you not only lose 8% a year but they reduce the payment if you earn over a small amount plus the taxes.
After full retirement it looked like it takes about 12 1/2 years for the extra % to make up for the loss of the payment each month.
The one that helped the most was Medicare at 65 as being self employed, the health insurance was a real killer plus high deductible.

I started drawing SS at age 62. I have a good federal pension and it didn't make sense to me to wait any longer. I agree that you need to do something to keep busy. It doesn't matter what, play guitar, whatever, just keep busy. Until this last spring I was employed teaching elementary school kids how to play chess in an after school program three days a week. Then the Covid stopped that. Maybe next year if I feel like it. This was of course a part-time job.

Actuaries figure it out, it will even out over time and unless you die young you’ll get the same amount either way. I’m taking mine at 62.