"Claiming Social Security is one of the biggest financial decisions retirees make, yet it's also one of the most misunderstood. Many people choose to take benefits at the earliest possible age of 62, only to realize later that their monthly check will be permanently reduced compared to waiting until full retirement age or beyond. That's exactly the case for Janet, a 64-year-old retiree who now worries she may have made a mistake by claiming too early."
"Janet's situation is far from unusual. The rules around Social Security are complex, and the long-term consequences aren't always clear at the time of filing. While she might feel regret now, there are important silver linings to her decision, from having early access to benefits to enjoying more years of retirement. Plus, she still has options to improve her financial picture going forward."
Claiming Social Security at the earliest eligibility permanently reduces monthly benefits compared with waiting until full retirement age or later. A retiree who claimed at 62 and is now 64 may regret the lower benefit, but early claiming provides immediate income, more years to enjoy retirement, and flexibility to work or pursue other income sources. Social Security rules are complex and long-term consequences can be unclear. Understanding how claiming age affects benefits and exploring adjustments — including seeking professional advice, switching work plans, or using other savings — can improve the financial picture and reduce regret.
Read at 24/7 Wall St.
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