When is the right time to apply for Social Security?

After a lifetime of hard work, you’ve earned your retirement — and all the benefits that come with it, including Social Security. But if you’re retiring before your full retirement age and have other sources of retirement income, you may want to put off applying for your Social Security benefits. Here’s why.

The longer you wait, the more you get¹

Your full retirement age is determined by when you were born, and ranges from 65 to 67. Everyone who is eligible for Social Security benefits can choose to start receiving them as early as age 62. However, if you apply before your full retirement age, you’ll receive a reduced benefit.

Here’s an example: Let’s say your full retirement age is 66 and your monthly benefit starting at that age is $1,000. If you choose to start getting benefits at age 62, your monthly benefit will be reduced by 25% to $750. However, if you wait until you’re 70, your monthly benefit would increase to $1,320.

If you live an average life span, your overall Social Security benefit will be about the same, regardless of when you start receiving it. And if you are married, there are additional scenarios that you should consider regarding the timing of when both spouses can optimize their Social Security choices. There are lots of factors to consider when choosing what age to receive your Social Security benefits, so be sure to discuss your options with your financial professional. Together, you can help ensure you make a decision that provides you with the income you need, when you need it.