For decades, **social security** has been the backbone of retirement for many Americans. While most people automatically assume they’ll claim their SS benefits as soon as they’re eligible at 62, many experts now recommend waiting till age 70. But why should you wait, and how can one extra year really add up? [1] Statistics show that delaying SS claims can significantly boost your lifetime benefits, but just how much can you expect to gain?
According to experts, the longer you wait, the bigger your monthly check will be. By waiting just one year beyond your full retirement age, you can increase your benefits by about 8% per year, reaching a maximum increase of 32% by age 70. [2] But what does that mean in dollars and cents, and how can one extra year really make a difference in your retirement plans?
Being eligible for social security at 62 doesn’t mean you have to claim it right away.
If you wait till 70, you’ll receive 124% of the amount you were originally entitled to.
Seymour Berger, senior vice president of Nationwide Retirement Institute, says that waiting to claim social security can be a smart move for many people.
### How Much More Can You Expect to Get?
Waiting till 70 can significantly increase your benefits. For example, if you were entitled to a monthly benefit of $2,000 at age 62, waiting a year or two could boost the amount to $2,200, or even $2,500. But delaying claims till 70 can push that amount up to $2,632 or even $2,892, depending on your date of birth and the average life expectancy of 74.
For those claiming SS at 62, waiting till 70 could add around $1,292 extra per month.
No claim encourages SS to give you 124% of your personal original SS claim.
### The Math Behind Delayed Social Security Benefits
To calculate how much benefits increase by delaying claims, you’ll need to consider two main factors: your full retirement age and the “delayed retirement credits” you can earn. Full retirement age varies based on your birth year.
Generally, it ranges from 65 to 67, and receiving benefits before this age results in a reduced benefit. Delayed retirement credits, however, increase your benefits by 8% for each year beyond full retirement age.
If you were born between 1943 and 1954, your full retirement age is 66. By waiting till 70, you can earn 32% more in benefits. That’s a $33,116 boost to $44,182.
Alternatively, if you were born after 1960, your full retirement age has increased to 67. In this case, delaying claims till 70 can earn you a 24% boost from $36,910 to $46,013.
