Financial Planning Fridays #150: What Is the Best Age to Take Social Security?

Hi friends, one of the most common questions we receive is what is the best age to take Social Security? And while the answer depends on your personal situation, here are a few important things to consider.

You can start as early as age 62, but your monthly benefit will be permanently reduced. If you wait until full retirement age, usually around age 66 or 67, you will receive your full benefit, and it will be about 40% higher than had you taken it at age 62. And if you wait until age 70, the absolute maximum age you can collect Social Security, your monthly benefit will be about 76% higher than if you started at 62.

So what's the best age for you? That depends on a few factors. Are you still working? What is your health and family longevity history? And do you have other income sources or investments you can draw from first?

For many people, waiting as long as possible can provide a larger safety net later in life, especially if you're in good health and have other income. But for others, taking it earlier may make sense based on your lifestyle or life expectancy. The key is don't guess.

At Presilium, we help clients run personalized Social Security strategies that are integrated into their full financial plan so you can feel confident you're making the absolute best decision for you. If you'd like to see the difference for yourself, we are happy to show you a custom report. Thank you and I look forward to talking with you next Friday morning.