Should You Retire At 62, 65, Or 70? Comparing U.S. Benefits

Your Social Security paycheck is permanently tied to the age you first claim. For people born in 1960 or later, your Full Retirement Age (FRA) is 67.

Claim earlier and you accept a permanent reduction; delay past FRA and you earn Delayed Retirement Credits (DRCs) that increase your monthly benefit up to age 70.

Choosing the right age affects lifetime income, survivor benefits, taxes, and how your Medicare decisions line up.

What The Reduction And Delay Rules Mean

At your FRA (67) you receive 100% of your Primary Insurance Amount (PIA).

• Claim at 62 (earliest age) and you typically receive about 70% of your PIA (roughly a 30% cut).
• Claim at 65 and you get about 86.7% of your PIA (a smaller, but still permanent, reduction).
• Delay to 70 and your check is about 124% of your PIA thanks to DRCs (~8% per year after FRA).

These percentages are built into the SSA rules and apply for life once you file.

Quick Comparison (Example: FRA Benefit = $2,000/Month)

Claim Age	% Of PIA	Example Monthly Amount	Pros	Considerations
62	~70%	$1,400	Money sooner; useful if savings are low or health is limited	Largest permanent cut; working before FRA can trigger the earnings test
65	~86.7%	$1,734	Aligns with Medicare enrollment; smaller cut than 62	Still reduced for life; weigh cash-flow needs vs. long-term income
67 (FRA)	100%	$2,000	No early-claim penalty; earnings test ends at FRA month	You forgo two to five years of checks compared with 62/65
70	~124%	$2,480	Maximum monthly benefit; stronger survivor base	You must self-fund the wait; consider longevity and portfolio risk

Note: The example amounts above use a sample PIA of $2,000 to show how the percentages translate into dollars.

Taxes And Medicare Timing

• Taxes on Social Security: Your benefits may be taxable based on combined income (“provisional income”). The historical thresholds are $25,000 (single) and $32,000 (married filing jointly). Above those, up to 50%–85% of benefits can be taxable. Planning withdrawals (e.g., from IRAs/401(k)s) can help manage brackets.
• Medicare Coordination: Most people start Medicare at 65. If you claim Social Security at or after 65, Part B premiums are typically deducted from your benefit. If you delay Social Security but enroll in Medicare, you’ll pay premiums out of pocket until you file for benefits. Missing Medicare enrollment windows can cause late-enrollment penalties, so align your claiming plan with health coverage needs.

When 62, 65, Or 70 Make Sense

• Retire At 62 if you need cash flow now, expect shorter life expectancy, or want flexibility to protect investments during a down market. Be mindful of the earnings test if you keep working before FRA.
• Retire At 65 if you want a balanced approach: smaller reduction than 62 and immediate alignment with Medicare to avoid coverage gaps.
• Retire At 70 if you have strong longevity expectations, other income to bridge the gap, and want the largest guaranteed monthly check and potentially higher survivor benefits for a spouse.

How To Personalize The Decision

Run the numbers with your PIA, expected longevity, spousal benefits, and tax picture.

A simple break-even analysis (earlier, smaller checks vs. later, larger checks) can clarify which age maximizes lifetime value for your situation.

There is no universal “best” age—only the best age for you. Claiming at 62 gives immediate income but locks in the biggest cut.

Filing at 65 aligns neatly with Medicare while preserving more of your benefit. Waiting until 70 maximizes monthly income and often strengthens a spouse’s survivor benefit.

Consider health, employment plans, taxes, and your capacity to bridge the gap.

Use your my Social Security estimates to test scenarios so your retirement paycheck fits your life—not the other way around.

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