Every worker may need to file for Social Security at a different age. Sometimes it is not possible to choose when you apply for retirement benefits in the United States because of a medical condition or because of unemployment. If your future payment is too low, you may not be able to afford to file early or even at Full Retirement Age.
Still, it is possible to know the best age to get the most from Social Security. While the worst age to file for retirement benefits is 62 because it reduces your monthly payment by about 30%, 70 is the best age to get the largest benefits possible for your work history. Here are the reasons why filing at the age of 70 can pay off from a financial point of view.
Social Security at 70: the best age
A retiree who filed for retirement benefit payments at the age of 70 can receive 8% more for every year they worked after reaching Full Retirement Age. It is a great deal of money, and not everyone can say no to this Social Security reward.
In total, a retiree who applies for benefits at the age of 70 can receive 24% extra per month. It can definitely make a difference because inflation and soaring prices can reduce your buying power over time.
On the other hand, it is true that those retirees who file at the age of 62 receive a lower payment. However, they will be able to collect more monthly payments in total.
3 Ways to Get a Larger Social Security payment at 70
There are a few things workers should take into account as they start working. These factors can considerably increase their future Social Security payments, so it is advisable to follow them.
- Workers should make sure they collect the highest wage possible, so promoting or changing to a better-paid job can help
- The jobs you have that must pay Social Security taxes. If you do not pay payroll taxes to the SSA, you are not eligible for benefits
- Ensure you work for at least 35 years; if you work for just 20 years, 15 of them will count as 0 when calculating your payment amount
All workers must file to get Social Security payments. Even if you qualify for a payment worth $5,108, the maximum benefit in 2025, you must apply. DO so a few months in advance to schedule the first payment and receive it when you expect to stop working.
Do not forget to check your annual Statement to see how much your Social Security payment amount could be. It is free and you can download it from your my Social Security account.
