When should I start receiving Social Security benefits?

When should I start receiving Social Security benefits?

The best time to start receiving Social Security benefits depends on your individual circumstances. You can start as early as age 62, but your benefits will be reduced. Full retirement age is between 66 and 67, depending on your birth year. Waiting until age 70 can increase your benefits significantly.

What are the pros and cons of starting early?

Starting early means you can access funds sooner, but your monthly benefit will be lower. If you have health concerns or need the money, it might make sense. However, if you can wait, you’ll receive a higher monthly benefit.

How does my work history affect my benefits?

Your work history affects your benefits because Social Security calculates your average indexed monthly earnings based on your highest 35 years of earnings. The more you earn, the higher your benefits will be.

Can I work while receiving Social Security?

Yes, you can work while receiving Social Security benefits, but if you are under full retirement age, your benefits may be reduced if you earn above a certain threshold.

What happens if I delay my benefits?

If you delay your benefits past your full retirement age, your monthly benefit amount will increase by a certain percentage until you reach age 70. This can provide you with a larger monthly income later on.