Choosing when to claim Social Security benefits is one of the most important retirement decisions you’ll make. While many people believe delaying benefits until full retirement age (FRA) or even age 70 is the smartest move, claiming Social Security at age 62 can actually be a smart early decision—especially if your personal situation supports it.
Let’s explore why so many overlook this option, and how claiming at 62 could be the key to financial freedom sooner than expected.
What Happens If You Claim at 62?
You become eligible for Social Security retirement benefits as early as age 62. However, doing so comes with a permanent reduction in your monthly benefit—up to 30% less than what you’d receive if you waited until your FRA (which is 67 for those born in 1960 or later).
If you delay claiming beyond FRA, your benefits increase by about 8% per year until age 70. Despite this reduction, there are compelling reasons to claim early.
Why Claiming at 62 Could Be a Smart Move
1. Immediate Income
If you retire early or face unexpected job loss or health concerns, claiming benefits at 62 gives you a steady monthly income right away. This can help reduce financial pressure and help you avoid dipping into savings too early.
2. Longer Benefit Period
Starting early means you’ll receive benefits over a longer timeframe. If you live an average lifespan or less, you could end up receiving more total benefits than someone who waits.
3. Freedom & Flexibility
Early benefits can support a part-time lifestyle, fund travel, or provide peace of mind during the early years of retirement when you’re more active and able to enjoy life.
Benefit Comparison
Here’s how monthly benefit amounts can vary depending on when you start claiming:
| Claiming Age | Estimated Benefit Change | Example Monthly Benefit |
|---|---|---|
| 62 | 30% less | $700 (if FRA benefit is $1,000) |
| 67 (FRA) | Full Benefit | $1,000 |
| 70 | 24% more | $1,240 |
These figures are examples and may differ based on your earnings history.
Things to Consider Before Claiming Early
While claiming at 62 offers benefits, it’s not ideal for everyone. Think about these key factors:
- Health and Longevity
If you expect to live well into your 80s or 90s, waiting may maximize your lifetime benefits. - Continued Employment
If you work while collecting benefits before FRA, earnings above the annual limit could temporarily reduce your monthly payments. - Spousal Benefits
Your decision can affect spousal and survivor benefits. Lower benefits now may mean less for your spouse later. - Other Retirement Income
If you have pensions, investments, or rental income, early Social Security may just be supplemental—making early claiming a strategic choice.
Who Benefits Most From Claiming at 62?
- Those with health issues or shorter life expectancy
- Individuals who retire early and need supplemental income
- People with limited retirement savings
- Workers in physically demanding jobs who may not want to continue past 62
Claiming Social Security at age 62 isn’t just about taking money early—it’s about designing a retirement strategy that works for your lifestyle, health, and financial goals.
While waiting may make sense for some, early claiming can be a smart and strategic move for many retirees who want flexibility, freedom, and financial security sooner.
Explore your options, run the numbers, and make the move that suits your future best.
FAQs
Can I still work and collect Social Security at 62?
Yes, but if your earnings exceed the yearly limit, some benefits may be temporarily withheld until you reach FRA.
Will my benefits increase later if I start at 62?
No, your monthly benefit is permanently reduced when you claim at 62. However, cost-of-living adjustments still apply.
Can I switch to a higher spousal benefit later?
Possibly, depending on your and your spouse’s situation. Spousal and survivor benefits may allow for adjustments later on.