You can begin taking Social Security as early as age 62, but there is an incentive to wait if possible. If you do wait until “full retirement age” (which will be explained below), you’ll receive your entire benefit. So, depending on your birth year, your full retirement age will vary according to Social Security Administration, and the following graphic depicts this as of 2021:
| Year of Birth | Full Retirement Age |
|---|---|
| 1937 and Before | 65 |
| 1938 – 1942 | 65 + 2 months for each year past 1937 |
| 1943 – 1954 | 66 |
| 1955 – 1959 | 66 + 2 months for each year past 1954 |
| 1960 and Later | 67 |
There certainly are different implications for every person and their individual needs, but the later you take it, the greater the benefits. It should be noted you must take it at age 70, and you will receive more money in doing so. There is a benefit “phaseout” which basically means the earlier you take it, the higher percentage the benefit will be reduced by, but there is no incentive to delay claiming after age 70. The following depiction shows how much a $1,000 monthly check would net you depending different circumstances:
| Year of Birth | Full Retirement Age (depends on current date) |
If you file at 62, % benefits is reduced by |
A $1,000 check turns into |
|---|---|---|---|
| 1943-1954 | 66 | 25% | $750 |
| 1955 | 66 and 2 months | 25.83% | $741 |
| 1956 | 66 and 4 months | 26.67% | $733 |
| 1957 | 66 and 6 months | 27.5% | $725 |
| 1958 | 66 and 8 months | 28.33% | $716 |
| 1959 | 66 and 10 months | 29.17% | $708 |
| 1960 and later | 67 | 30% | $700 |
Now, let’s look at a chart that depicts how much you will receive if you do wait until your full retirement age to take Social Security Benefits (if possible given personal circumstances):
| Retirement Age | New Benefit | A $1,000 check turns into |
|---|---|---|
| 66 + 6 months | 104% | $1,040 |
| 67 | 108% | $1,080 |
| 67 + 6 months | 112% | $1,120 |
| 68 | 116% | $1,160 |
| 68 + 6 months | 120% | $1,200 |
| 69 | 124% | $1,240 |
| 69 + 6 months | 128% | $1,280 |
| 70 | 132% | $1,320 |
INVESTING RISK DISCLOSURE
Keep in mind that investing involves risk. The value of your investment will fluctuate over time and you may gain or lose money. Before investing, consider the funds’ investment objectives, risks, charges, and expenses. Contact Mahoney Asset Management for a prospectus or, if available, a summary prospectus containing this information. Read it carefully.
IMPORTANT CONSUMER INFORMATION
This web site has been prepared solely for informational purposes. It is not an offer to buy or sell any security; nor is it a solicitation of an offer to buy or sell any security.This site and the opinions and information therein are based on sources which we believe to be dependable, but we can not guarantee the accuracy of such information.
Representatives of a broker-dealer or investment adviser may only conduct business in a state if the representatives and the broker-dealer or investment adviser they represent: (a) satisfy the qualification requirements of, and are approved to do business by, the state; or (b) are excluded or exempted from the state’s licenser requirements.
An investor may obtain information concerning a broker-dealer, an investment advisor, or a representative of a broker-dealer or an investment advisor, including their licenser status and disciplinary history, by contacting the investor’s state securities law administrator.
SECURITIES: ARE NOT FDIC-INSURED/ARE NOT BANK-GUARANTEED/MAY LOSE VALUE
This information is intended for use only by residents of CA, CT, DC, FL,, MA, MD, MN, NC, NJ, NY, OH, PA, and VA. Securities-related services may not be provided to individuals residing in any state not listed above.
The financial calculator results shown represent analysis and estimates based on the assumptions you have provided, but they do not reflect all relevant elements of your personal situation. The actual effects of your financial decisions may vary significantly from these estimates–so these estimates should not be regarded as predictions, advice, or recommendations. Mahoney Asset Managment does not provide legal or tax advice. Be sure to consult with your own tax and legal advisors before taking any action that would have tax consequences.
Securities offered through
Newbridge Securities Corporation,
member FINRA / SIPC
Investment Advisory Services offered through
Newbridge Financial Services Group Inc.,
an SEC Registered Investment Adviser.
Office of Supervisory Jurisdiction
1200 North Federal Highway, Suite 400
Boca Raton, FL 33432
Toll-Free: 877-447-9625
Phone: 954-334-3450
Fax: 954-489-2390
