Social Security at 70 brings bigger checks, but not always more lifetime income

Motley Fool

Delaying Social Security past full retirement age raises monthly checks by 8% a year until 70, but may not maximize lifetime benefits. In the article’s example, a $2,500 benefit at 67 grows to $3,100 at 70; a claimant must live to 82½ to break even.

In the same example, a claimant who lives to 80 would receive $372,000 in total by claiming at 70, compared with $390,000 by claiming at 67—a difference of $18,000. The article also says larger checks can make it easier to avoid withdrawing from investments during a market downturn and yield larger dollar gains from annual cost-of-living adjustments.

People born in 1960 or later have a full retirement age of 67 and can claim as early as 62; benefits are based on personal wage history. The article says health, expected longevity and retirement goals—including whether to use the money earlier—are relevant to the decision.

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