The Biggest Social Security Mistake You’re Likely to Make

What's Hot


5 Reasons to Shop for a Home in DecemberFamily

Shoppers Boycott Businesses Selling Trump-Branded ProductsBusiness

Giving Thanks: Why Foreigners Find America AmazingAround The House

Why Washing Your Turkey Can Make You IllFamily

50 Best Gifts Under $25 for Everyone on Your ListFamily

Pay $2 and Get Unlimited Wendy’s Frosty Treats in 2017Family

What the Richest 1 Percent Earns in Every StateFamily

10 Ways to Retire Earlier Than Friends on the Same SalaryGrow

The 10 Best Ways to Blow Your MoneyCredit & Debt

7 Foods That Can Lengthen Your LifeFamily

The 50 Hottest Toys of the Past 50 YearsFamily

New Email Phishing Scam Targets Amazon ShoppersMore

7 Government Freebies You Can Get TodayFamily

This one simple misstep could cost you thousands of dollars in benefits a year.

You can claim Social Security benefits at age 62, but that doesn’t mean you should.

The longer you wait, the more you get — and we’re not talking peanuts, either.

“Checks claimed at age 62 are about 25 percent smaller than if you wait until your full retirement age,” CNNMoney says. That’s 67 for those born in 1960 or later, and a bit younger for those who were born earlier. You can find your full retirement age here.

Benefits keep growing after full retirement age, too, by 8 percent for each year you wait until age 70, CNNMoney says. They offer the example of a hypothetical 61-year-old making $55,000. A few scenarios:

  • She starts claiming benefits at 62, getting about $15,400 a year.
  • She starts at 66, which is her full retirement age, and gets $20,500 a year.
  • She starts at 70, and gets $27,100 a year.

If she lives until age 95, the difference between claiming at 62 and 70 is $177,000 in today’s dollars. That’s on top of the additional earnings she could make by continuing to work those eight years, plus the health benefits of working longer. Delaying retirement is said to reduce the risk of dementia.

Health issues or unemployment could take away that option, of course, and it may be hard to see that far into the future. So check out the video below for several other ways to boost your Social Security income:

Stacy Johnson

It's not the usual blah, blah, blah

I know... every site you visit wants you to subscribe to their newsletter. But our news and advice is actually worth reading! For 25 years, I've been making people richer without making their eyes glaze over. You'll be glad you did. I guarantee it!

💰🗣📰

Read Next: The 7 Worst Things to Buy at a Dollar Store

Check Out Our Hottest Deals!

We're always adding new deals and coupons that'll save you big bucks. See the deals to the right and hundreds more in our Deals section.

Click here to explore 1,786 more deals!