Most Americans don’t wait until they’re 70 to claim Social Security, even though doing so could maximize their senior benefit. Recent data from the Social Security Administration (SSA) shows that only 9% of new retirees delay claiming until age 70 or later.
Experts say many retirees focus on when they become eligible to claim rather than when it makes the most financial sense. For those hoping to achieve a stress-free retirement, understanding why is an important part of the equation.
The difference isn’t just a matter of a few dollars each month. Depending on when you start collecting, your lifetime retirement income could look very different.
The average Social Security check at age 62
As you may know, eligibility for Social Security benefits starts at age 62. It is the earliest claiming age, and it’s fairly popular.
Roughly 23% of eligible seniors claimed at 62 in 2024, according to the SSA’s most recent data. The average newly awarded retirement benefit for people who claimed at this age was approximately $1,335 per month.
Applying this early permanently reduces monthly benefits because recipients begin collecting before reaching their full retirement age. Depending on when they were born, this reduction could be as much as 30% compared with waiting until full retirement age.
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The average Social Security check at full retirement age
For most people who retire today, full retirement age means 66 or 67, depending on their birth year. Their average benefit is significantly higher than that of retirees claiming at 62 because they avoided the permanent early-claiming reduction.
The SSA found that the most common claiming age is 66, reflecting many Americans’ preference to collect once they become eligible for the full benefit rather than delaying further.
There isn’t a single average benefit for everyone claiming at full retirement age because both full retirement age and benefit amounts vary. Your full retirement age depends on your birth year, while your benefit is based on your lifetime earnings. Still, waiting until full retirement age unlocks a larger monthly payment without requiring retirees to postpone benefits until 70.
Waiting until age 70 could mean $1,900 more every month
Each full year you wait to claim after full retirement age and before turning 70 adds 8% to your benefits. For retirees who delay until their 70th birthday, the payoff is substantial.
The average newly awarded retirement benefit at 70 reached approximately $3,235 per month in 2024. That’s roughly $1,900 more every month than the average benefit for someone who claimed at age 62.
The increase comes from delayed retirement credits. Those higher payments continue for life and also increase potential survivor benefits for a spouse. The trade-off is that retirees forgo up to eight years of Social Security income while waiting to claim.
Why most Americans still claim before age 70
Despite this large financial incentive, very few retirees (8.7% of new retirees in 2024, to be exact) delay benefits until they’re 70.
Postponing benefits just doesn’t work for some people. They may retire earlier than expected because of health problems or job loss. Others may need the income immediately to cover everyday expenses. Yet others worry they won’t live long enough to benefit from waiting, or prefer to receive payments sooner rather than later.
How to decide when claiming Social Security makes sense
Choosing when to claim Social Security is one of the biggest financial decisions retirees make because it affects income for the rest of their lives. The right claiming age depends on personal health, life expectancy, savings, employment plans, and household finances, not just the size of the monthly benefit.
If you expect a long retirement
If you’re in good health and have family members who lived into their late 80s or 90s, you may benefit from waiting until you turn 70. The higher monthly checks provide greater lifetime income and help offset inflation over decades of retirement.
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If you need income immediately
You may have been forced into retirement by a layoff or having to care for elderly parents. In this situation, you have little choice but to claim early. Replacing lost income may outweigh the value of a larger future benefit.
If you’re married
As a couple, you should coordinate your claiming strategies. The higher-earning spouse typically benefits most from waiting longer to claim because the larger check may also increase the surviving spouse’s Social Security income later.
If you have other retirement savings
Do you have sufficient savings in a 401(k) or IRA? Choosing to spend those assets for a few years while delaying Social Security may effectively “buy” you a larger guaranteed inflation-adjusted income stream for life.
Run the numbers before deciding
Rather than choosing an age based on what friends or family members did, compare your estimated benefit at ages 62, full retirement age, and 70. Then consider how each option fits your expected expenses, taxes, life expectancy, and other retirement income sources.
Bottom line
Waiting until age 70 isn’t the right choice for every retiree. But the latest Social Security data show that claiming age can dramatically affect monthly retirement income, sometimes by nearly $2,000 monthly.
Before deciding when to file, assess your financial fitness. Compare your projected benefits at multiple ages and weigh them alongside your savings, health, and retirement goals. The right claiming strategy goes beyond producing the biggest check. It’s the one that best supports your overall retirement plan.
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Author Details
Roxana Loomes
Roxana Loomes has written more than 110 articles for FinanceBuzz, where she helps readers stretch every dollar through savvy shopping and strategic spending. You’ll find her sharing budget-friendly finds at Target, Costco, and Sam’s Club, and pointing readers toward small towns where retirees can live well on just $40,000 a year.
