When Should I Claim Social Security?

Understanding Your Social Security Claiming Options

Deciding when to begin Social Security retirement benefits is one of the most important decisions you may make when planning for retirement. The age you claim can affect your monthly income for the rest of your life and may also influence benefits available to a surviving spouse.

There is no single “best” claiming age for everyone. The appropriate decision depends on your income needs, health, family longevity, employment plans, other assets, marital status, and broader retirement strategy.

Understanding your options can help you make a more informed decision.

When Can You Begin Receiving Benefits?

Eligible individuals may generally begin receiving Social Security retirement benefits as early as age 62.

However, beginning benefits before your full retirement age generally results in a permanently reduced monthly benefit. Delaying benefits beyond full retirement age increases the monthly benefit through delayed retirement credits until age 70.[1]

There is generally no additional increase for waiting beyond age 70, so individuals who have not yet claimed should normally evaluate beginning benefits by that age.[2]

Understanding Full Retirement Age

Your full retirement age, commonly called FRA, depends on your year of birth.

Under current law:

• Full retirement age is 66 for people born from 1943 through 1954.

• It gradually increases for people born from 1955 through 1959.

• Full retirement age is 67 for people born in 1960 or later.[1]

Your benefit at full retirement age is based primarily on your covered lifetime earnings. Claiming before FRA reduces that scheduled amount, while delaying beyond FRA can increase it.[1]

For example, someone born in 1960 or later has an FRA of 67. If that person begins retirement benefits at age 62, their monthly retirement benefit may be approximately 30% lower than the benefit available at FRA. Waiting until age 70 may result in a benefit equal to approximately 124% of the FRA amount.[1][2]

These percentages apply to monthly retirement benefits. They do not necessarily determine which claiming age will provide the greatest total lifetime benefits because that outcome depends partly on how long the individual lives.

Factors to Consider

Choosing when to claim Social Security involves much more than selecting an age.

Important considerations include:

• Your current retirement-income needs

• Your health and family longevity

• Your expected retirement date

• Whether you plan to continue working

• Your spouse’s earnings and benefit history

• Survivor-benefit considerations

• Other retirement assets and income

• Your federal and state tax circumstances

• Your desire to leave assets to beneficiaries

• Your tolerance for withdrawing from investments

• Your overall retirement plan

No single factor should automatically determine the decision.

Claiming Early

Some individuals choose to begin benefits before full retirement age because they:

• Need income sooner

• Have stopped working

• Have limited savings or other income

• Have significant health concerns

• Want to reduce withdrawals from investment accounts

• Prefer receiving smaller payments over a potentially longer period

Claiming early is not automatically a mistake. It may be appropriate when earlier income serves an important financial or personal purpose.

However, the reduction generally applies to the monthly benefit for the remainder of the individual’s life. An early claim may also affect the survivor benefit eventually available to a spouse, particularly when the claimant is the higher earner.[3]

Claiming early provides more monthly payments, but each payment is generally smaller. Whether it produces more or less total lifetime income depends substantially on longevity and other circumstances.

Waiting to Claim

Other individuals delay benefits because they:

• Continue working

• Have sufficient income from other sources

• Expect a longer retirement

• Want a larger guaranteed monthly benefit later

• Are concerned about outliving their savings

• Want to increase potential survivor protection for a spouse

Retirement benefits generally increase for each month an eligible worker delays claiming between full retirement age and age 70.[2]

For people born in 1943 or later, delayed retirement credits generally increase the retirement benefit by 8% per year, or two-thirds of 1% for each month of delay, until age 70.[2]

The increase is applied to the claimant’s benefit before future cost-of-living adjustments. Delaying does not guarantee that the individual will receive more money over their lifetime, but it can provide a larger monthly income for as long as the individual lives.

Health and Life Expectancy

Health and longevity are important, but neither can be predicted precisely.

Someone with serious health concerns or a shorter expected lifespan may place greater value on receiving benefits sooner. Someone in good health with a family history of longevity may place greater value on a larger monthly benefit later in life.

Social Security can also serve as a form of longevity protection because retirement benefits generally continue for the recipient’s lifetime.

Rather than relying on a single life-expectancy estimate, it may be helpful to consider several possible outcomes, including living well into your 80s or 90s.

Married Couples and Survivor Benefits

Married couples should generally evaluate their claiming decisions together rather than treating each benefit independently.

A spouse may qualify for benefits based on their own earnings history or, when applicable, for an additional spousal benefit based on the other spouse’s record. Under current deemed-filing rules, most individuals who qualify for both their own retirement benefit and a spousal benefit are considered to have applied for both when they claim either benefit.[4]

The higher earner’s decision may be especially important. Delaying the higher earner’s retirement benefit can increase that person’s monthly benefit and may provide greater survivor protection if the higher earner dies first.[3]

A surviving spouse may generally receive the higher of their own benefit or the available survivor benefit—not both full benefits added together. Survivor-benefit claiming rules also differ from the rules governing regular retirement and spousal benefits.[3][4]

Divorced and widowed individuals may have additional options depending on factors such as age, length of marriage, remarriage, and benefit eligibility.

What Happens If You Continue Working?

You can work while receiving Social Security retirement benefits.

However, when you claim before full retirement age, the retirement earnings test may cause Social Security to temporarily withhold part of your benefits if your earned income exceeds the applicable annual limit.[5]

The earnings test generally considers wages and net self-employment income. It does not generally count pensions, annuities, investment income, interest, or other government retirement benefits.[5]

Beginning with the month you reach full retirement age:

• The earnings limit no longer applies.

• You may earn any amount without having retirement benefits withheld.

• Social Security recalculates your benefit to credit you for months in which benefits were withheld because of excess earnings.[5]

Benefits withheld under the earnings test are therefore not necessarily permanently lost. However, claiming early can still result in a reduced monthly benefit based on the months for which early benefits were actually received.

Social Security and Retirement Are Separate Decisions

You do not necessarily have to begin Social Security when you stop working.

Someone may:

• Retire and claim Social Security immediately

• Retire and delay Social Security

• Continue working while receiving Social Security

• Reduce working hours before claiming

• Use savings or retirement accounts temporarily while delaying benefits

Separating the employment decision from the claiming decision can create additional planning options.

For example, some retirees use taxable savings or retirement-account withdrawals during the years before Social Security begins. This may allow them to delay benefits, but it may also increase portfolio withdrawals or create tax consequences. The tradeoffs should be evaluated carefully.

Do Not Forget Medicare

Delaying Social Security beyond age 65 does not necessarily mean you should delay enrolling in Medicare.

Individuals who are not already receiving Social Security generally need to evaluate Medicare enrollment separately. Depending on workplace coverage and other circumstances, missing the appropriate Medicare enrollment period can result in coverage gaps or permanent late-enrollment penalties.[1]

Anyone approaching age 65 should review Medicare eligibility and enrollment deadlines even when planning to delay Social Security until a later age.

Taxes and Social Security

Social Security retirement benefits may be subject to federal income tax depending on the recipient’s filing status and other income.

The federal calculation generally considers:

• One-half of Social Security benefits

• Adjusted gross income from other sources

• Certain tax-exempt interest

Depending on the result, up to 85% of Social Security benefits may be included in taxable income. This does not mean Social Security is taxed at an 85% tax rate. It means that as much as 85% of the benefit may be included in the taxpayer’s income and taxed at their applicable rate.[6]

Other retirement-income decisions can therefore affect Social Security taxation. Examples may include:

• Traditional IRA distributions

• 401(k) withdrawals

• Roth conversions

• Pension income

• Employment income

• Interest and dividends

• Realized capital gains

State taxation of Social Security benefits varies. Because tax rules are complex and subject to change, individuals should consult a qualified tax professional regarding their circumstances.

Social Security Is Only One Part of Retirement

For many retirees, Social Security is one component of a broader retirement-income strategy.

Other income sources may include:

• Traditional or Roth retirement accounts

• Employer pension benefits

• Taxable investments

• Bank savings

• Annuity income

• Rental income

• Part-time employment

• Business income

A comprehensive retirement plan considers not only the amount of Social Security available, but also when each income source should be used.

The objective may not always be to maximize Social Security in isolation. Instead, the goal may be to coordinate Social Security with taxes, investment withdrawals, healthcare expenses, survivor needs, and long-term financial security.

Should You Calculate a Break-Even Age?

A break-even analysis estimates the age at which the cumulative benefits from delaying Social Security may exceed the cumulative benefits from claiming earlier.

This comparison can be useful, but it has limitations. The result depends on assumptions about:

• Life expectancy

• Cost-of-living adjustments

• Investment returns

• Taxes

• Spousal and survivor benefits

• How earlier benefits would be spent or invested

A break-even age should generally be viewed as one planning tool rather than the sole basis for a claiming decision.

Our Approach

At Liberty Point Financial, we help clients evaluate Social Security within the context of a comprehensive retirement plan.

Rather than focusing only on the largest possible monthly benefit, we consider how a claiming strategy may interact with:

• Retirement-account withdrawals

• Investment management

• Pension income

• Tax planning

• Roth conversions

• Healthcare expenses

• Spousal and survivor needs

• Long-term financial goals

Every recommendation is based on the client’s individual financial circumstances and objectives.

Frequently Asked Questions

Should everyone wait until age 70?

No.

Delaying until age 70 provides the largest monthly retirement benefit based on an individual’s earnings record, but it may not be appropriate for everyone. Income needs, health, marital circumstances, employment, and other assets should all be considered.

Is claiming at age 62 a mistake?

Not necessarily.

Claiming at 62 results in a reduced monthly benefit, but it may align with an individual’s financial needs, health considerations, or retirement plans. The decision should be evaluated based on the complete financial situation.

Does claiming early mean I will receive less over my lifetime?

Not always.

Claiming early generally provides smaller payments for a longer potential period. Delaying generally provides larger payments for a shorter potential period. The total ultimately received depends largely on longevity and future circumstances.

Can married couples use different claiming ages?

Yes.

Spouses may begin benefits at different ages. However, the decisions should generally be coordinated because one spouse’s claiming decision may affect spousal benefits, household cash flow, and potential survivor benefits.

Can I receive both my own benefit and a spousal benefit?

You generally receive your own benefit first. If an eligible spousal benefit is higher, Social Security may provide an additional amount so the combined payment equals the higher available benefit. You do not ordinarily receive both full amounts added together.[4]

Can I claim Social Security and continue working?

Yes.

If you are below full retirement age, earned income above the annual limit may cause some benefits to be temporarily withheld. Beginning with the month you reach FRA, the earnings limit no longer applies.[5]

Can I change my decision after claiming?

In limited circumstances.

You may be able to withdraw your application within 12 months of approval, but you generally must repay benefits received by you and certain family members. After reaching full retirement age, you may also be able to voluntarily suspend retirement benefits and earn delayed retirement credits until age 70. Specific rules and consequences should be reviewed directly with the Social Security Administration.

Can a financial advisor help me decide when to claim?

A financial advisor can help evaluate how different claiming ages may affect retirement cash flow, taxes, investments, and survivor planning.

However, only the Social Security Administration can determine official eligibility and benefit amounts.

Final Thoughts

Choosing when to claim Social Security is a significant retirement decision, but there is no universal answer.

Claiming early may provide needed income sooner. Delaying may create a larger monthly benefit and greater longevity or survivor protection. The appropriate strategy depends on your financial resources, health, family circumstances, employment plans, and long-term goals.

Rather than evaluating Social Security by itself, consider how it fits into your complete retirement strategy, including investments, taxes, healthcare, income needs, and estate-planning objectives.

Ready to Plan for Retirement?

If you are approaching retirement and wondering when to claim Social Security, Liberty Point Financial can help you evaluate your options as part of a personalized retirement-income strategy.

Schedule a complimentary consultation to learn more.

Important Disclosure

This article is provided for educational and informational purposes only and should not be considered individualized Social Security, tax, legal, or investment advice. Social Security and tax laws are subject to change, and every individual’s circumstances are unique.

Benefit examples and percentages are general illustrations and may not reflect the benefits available to a particular person. Official eligibility, benefit amounts, and claiming options are determined by the Social Security Administration. Liberty Point Financial does not provide legal or tax advice. Please consult the Social Security Administration and a qualified tax professional regarding your specific circumstances.

Advisory services are provided only pursuant to a written advisory agreement. Investing involves risk, including the possible loss of principal. Past performance does not guarantee future results.

Sources

1. Social Security Administration — “Starting Your Retirement Benefits Early” and “When to Start Receiving Retirement Benefits.” Information regarding age 62 eligibility, full retirement age, early-claiming reductions, delayed benefits, Medicare enrollment, longevity considerations, and survivor planning.

2. Social Security Administration — “Delayed Retirement Credits.” Information regarding monthly benefit increases for delaying retirement benefits beyond full retirement age and the end of delayed credits at age 70.

3. Social Security Administration — “Survivors Benefits.” Information regarding surviving-spouse eligibility, benefit amounts, the effect of reduced retirement benefits, remarriage, and survivor-benefit considerations.

4. Social Security Administration — “Filing Rules for Retirement and Spouses Benefits.” Explanation of deemed filing, coordination between retirement and spousal benefits, and the separate treatment of survivor benefits.

5. Social Security Administration — “Receiving Benefits While Working” and “Retirement Earnings Test.” Information regarding earnings limits before full retirement age, temporary benefit withholding, income counted under the test, and benefit recalculation at FRA.

6. Internal Revenue Service — Topic No. 423, “Social Security and Equivalent Railroad Retirement Benefits.” Federal tax information regarding combined income, potentially taxable Social Security benefits, joint-return calculations, and tax withholding.

Sources reviewed July 14, 2026. Social Security rules, earnings limits, tax provisions, and benefit calculations may change. Readers should verify current information with the Social Security Administration before making a claiming decision.