When it comes to retirement planning, many financial experts warn against claiming Social Security benefits at age 62 — the earliest age you can start receiving payments. They often point out the permanent reduction in monthly benefits and potential long-term financial downsides.
But the truth is, claiming early can be the right move for many Americans, especially those who are financially comfortable and want to enjoy retirement on their own terms.
The Basics: What Happens If You Claim Social Security at 62?
If your Full Retirement Age (FRA) is 67 (which applies to people born in 1960 or later), claiming Social Security at age 62 means you’ll receive up to 30% less each month — and this reduction is permanent.
That’s why many people are advised to wait until 67 or even 70 to get the maximum monthly benefit.
But financial decisions aren’t always just about maximizing numbers. They should also be about lifestyle, health, and personal goals.
When Social Security Is Extra, Not Essential
Not everyone depends solely on Social Security in retirement. Many Americans have spent years saving and investing, building comfortable nest eggs. According to the Federal Reserve, the median retirement savings for those aged 65 to 74 was around $200,000 as of 2022. While this might not be enough for some, it may be more than enough for others with low expenses or strong investment portfolios.
If you’re someone who:
- Has a solid retirement fund
- Owns your home or has minimal expenses
- Doesn’t rely on Social Security for basic living costs
Then claiming Social Security at 62 might actually make sense. It becomes bonus income that can fund travel, hobbies, or early retirement dreams — without disturbing your main savings.
Why Timing Matters for Lifestyle and Health
For many, the early 60s are a time when they are still healthy, active, and eager to explore life after work. By waiting until 67 or 70 to claim Social Security, you may receive higher payments — but you also miss out on years of income that could have been used when you’re more physically able to enjoy it.
Claiming early can help you:
- Travel more while you’re still fit
- Start new hobbies or small businesses
- Spend more quality time with family
- Reduce the stress of dipping into retirement savings too early
It’s Not Always About the Numbers
Of course, claiming early isn’t right for everyone. If you don’t have enough savings or expect to live a long life, delaying benefits might be the smarter choice financially.
But if you’re:
- Financially stable
- In good health
- And want to enjoy your retirement while you’re still young
Then claiming Social Security at 62 might be the perfect lifestyle choice for you — even if it means accepting a slightly smaller check each month.