Planning to Delay Social Security Until 70? Here's Why You May Need to Rethink That.
Planning for retirement means thinking about the various expenses you'll face as a senior and how you'll pay for them. Your retirement income may come from several sources, a substantial one of which is likely to be Social Security. And to that end, you have some options.
Your Social Security benefits are calculated based on your earnings during your 35 highest-paid years in the workforce, but the age you choose to claim them at will impact your ultimate monthly payout in retirement. If you file for benefits at full retirement age, which is ether 66, 67, or somewhere in between, depending on the year you were born, you'll get the exact monthly benefit you're entitled to based on your wage history. If you file before full retirement age -- you can do so starting at age 62 -- your benefits will be permanently reduced. And if you delay benefits past full retirement age, you'll boost them by 8% a year, up until age 70.
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Source Fool.com
