Although it is possible to apply for a Social Security check in the United States starting at age 62, this may not be entirely advisable. It is true that once a citizen turns 62 and has worked for at least 10 years, he or she can apply for a Social Security benefit.
However, for most people in the United States, this decision is not entirely wise. This may be because applying for retirement at age 62 may award too small a check. In many cases, it is also not a good idea to try to delay the maximum retirement age, which is 70.
Every citizen must find the ideal point where with a suitable retirement age he or she has a good Social Security check and at the same time it is not too late. You have to take into account all the elements around retirement and not only the economic one. Health is also important in these cases.
For that and other reasons, there are certain advantages to applying for Social Security at age 65. In spite of this, the advantages for one citizen may not be so for another, so we must be cautious when taking this advice. Each case is totally different and we must study our case individually.
Advantages of claiming a Social Security check at age 65
There are many advantages to claiming Social Security at age 65 that are absolutely true. These advantages are very general. Therefore, we can add up each individual’s specific case. Let’s look at the advantages:
- Medicare. At age 65 we can enroll in Medicare. This means that we can save a lot of money on drugs. If we add to this the fact that we start collecting Social Security at that age, the money savings can be considerable.
- Bigger check than with Early Retirement Age. As soon as we turn 62 we can apply for Social Security, but it may not be convenient. If we wait until age 65 we can get a better check. It won’t be the $4,555 check, the maximum in 2023, that we can get at age 70, but it will be better than applying for it at 62.
- Less debt. If we wait until age 65 to file for retirement we will work a little longer and this will allow us to pay off debts. Reaching retirement age without debt is essential to have a better life.
- More savings. Saving money during our working years is key to having the best retirement possible. Relying on just a Social Security check is not a good idea, so save as much as you can.
However, there are also some disadvantages to receiving Social Security after age 65.
Disadvantages of retirement at age 65
Everyone has their own preferences regarding retirement. As we have already seen, there are many advantages to claiming Social Security at age 65, but there are also disadvantages. These disadvantages may be minor for some Americans, but they really exist.
- We don’t get as big a check as we do with Full Retirement Age. In order to have 100% of the money we have contributed, it is mandatory to wait until age 67 before applying for retirement. If we retire earlier, we don’t get all the money we have contributed. So that is a very clear disadvantage of retiring at 65.
- Health. If we compare Early Retirement Age with Social Security at 65 health can be a major factor. At 62 we will be in better health than at 65, so we should keep that in mind.
- More taxes. Over the years we will pay more in taxes because we will have earned more money. This could be an advantage, since the retirement check comes out of those taxes, but for some Americans it is a distinct disadvantage.
The final decision is up to each citizen, but it is good to have the complete map of the advantages and disadvantages of applying for Social Security at age 65. Remember that you should analyze your situation well and decide when to retire depending on how you are in good health and financially.