Dave Ramsey Breaks Down Who Benefits Most from Taking Social Security at 62

"I do not always agree with the advice Dave Ramsey gives on his show. Many financial situations are complex, and there is rarely a single magic solution that a professional can offer. Opinions and viewpoints will always show through, and it is perfectly fine not to see eye to eye with any pundit on every topic. Still, there is one potentially controversial Ramsey viewpoint that I fully support, and that is taking Social Security at 62, which is the earliest age you can file."

"Delayed gratification is often a smart financial choice. If you wait beyond 62, your monthly Social Security benefit will be higher. But the value you get from that money at different stages of your life is not the same. The utility, meaning the enjoyment or satisfaction you gain, might be significantly greater in your early 60s, even if the amount is smaller. For many people, spending a modest benefit earlier can deliver far more life value than waiting for a larger check later."

Taking Social Security at the earliest eligible age (62) can increase life satisfaction by providing funds during a more active early-60s period when travel and activities are possible. Delaying benefits raises monthly payments, but the utility of larger checks later may be lower if health or mobility decline. The time value of money and ability to enjoy funds now can favor early claiming for many people. Individual health prospects and life expectancy influence the optimal choice; people who expect long lifespans may benefit from delaying, while those who prioritize current experiences or face health uncertainty may choose to claim at 62.

Read at 24/7 Wall St.