Ask Larry

Should I take Social Security early?

Dear Larrry,
I am 60 years old, and will turn 62 in July 2017. I'm still working. My husband is 77, retired, and has been collecting his Social Security for several years now. Should I begin collecting my SS when I turn 62? I'm not planning on working past 62. And, if so, would I be able to "switch" to survivor benefits after that if my husband were to pass before me? Or, should I wait until I'm 66 years and 2 months? Or, is there a better option besides these two? Thank you!

Lori,
Your best filing strategy depends on both your and your husband's earnings.
Since you were born after 1 Jan 1950, when you take either your retirement or spouse's benefit you will be deemed to have applied for both benefits at that time. So, if you take either before your full retirement age (FRA), of 62 years and 2 months, they will be reduced. If you wait until your FRA they will not be reduced. If you wait until age 70 your retirement benefit will be 30.67% higher than it would be at your FRA.
Yes, you can switch to your widow's benefit if your husband passes before you and it's larger than your retirement benefit.
The best way to consider all possible options is to run our MaximizeMySocialSecurity software.

Best,
Mike

Posted: 
Jun 29 2016 - 3:45pm
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