Although 70 is the least popular age to retire, it is one of the most advantageous.
For a large portion of US citizens, Social security It is an essential source of income. In addition to lifting more than 21.7 million people out of poverty each year (about 15.4 million adults age 65 and older), it is a program that nearly 9 in 10 retirees rely on to make ends meet.
Given the importance Social security For the financial well-being of today’s retirees, it is important to get the most out of the program. This starts with understanding how your Social Security benefits are calculated and how age to claim, even with the possibility of waiting until age 70, can significantly affect what you receive monthly for the rest of your life.
Social Security: This is the average benefit at age 70
future generations who Choose to receive their benefits at the earliest age (age 62) You will see your monthly check Social security Reduced by up to 30%. Waiting another five years, until they turn 67, will allow them to get 100% of their monthly payment. However, waiting a full eight years after eligibility, until age 70, could increase future retirees’ checks by 24% above what they would have received at full retirement age.
SSA data from December 2022, 2,955,215 retired workers receiving benefits at age 70 Years brought home $1,963.48 per month, which is about $23,562 per year. For context, the average monthly benefit at age 70 is 6% higher than the average monthly check for 67-year-old beneficiaries and 54% higher than for 62-year-old beneficiaries.
Age 70 was one of the least common claiming ages in 2022 (ranking seventh out of nine possible claiming ages between 62 and 70), but it has been growing slowly in recent decades. This is a trend that will continue due to increased longevity.
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