The Average Social Security Benefit at 3 Key Ages (When You Claim Matters)

Chances are good that you spend some time thinking about your retirement plan, especially if you're hoping to retire early. One of the most important financial decisions is when to claim Social Security.

Here's how claiming at three different ages — 62, 67, and 70 — impacts your Social Security benefit, and what it means for you.

According to recent data, the average monthly Social Security benefit at age 62 — which is the earliest age that most people can collect their benefit — is $1,342.

This figure rises to $1,930 by age 67 and reaches $2,148 by age 70. These amounts reflect both reductions for early claimants and delayed retirement credits for those who wait to claim benefits.

People claiming at age 70 generally receive a significantly higher monthly benefit for life than those who claim at any time between age 62 and full retirement age (FRA), which is now 67 for most people. In fact, each year that you delay claiming up to age 70 increases the size of your benefit.

While averages offer a useful benchmark, the size of your benefit will depend on your work history and career earnings.

Beginning benefits before your full retirement age triggers an automatic reduction in the size of your monthly payout.

For someone born in 1960 or later, claiming at 62 means roughly a 30% cut in your monthly payment. On the other hand, delaying past full retirement age up to age 70 adds roughly 8% per year in delayed credits, increasing your monthly benefit permanently and boosting your financial fitness.

Your Social Security payout also depends on your average indexed monthly earnings, calculated from your highest 35 years of income. This means working longer and earning more money might inflate the size of your benefit.

The Social Security Administration (SSA) offers calculators at its website that can help you understand these personalized adjustments.

One clear advantage of claiming Social Security at the earliest possible age of 62 is that you can access income sooner. That can help if you need cash flow immediately.

For people in poor health or with shorter life expectancies, claiming earlier may yield greater total benefits over time. Alternatively, if your career ends early or you retire unexpectedly, early claiming can ease the transition.

Collecting your benefits earlier can also help you reduce the need to withdraw from investment accounts in years when the market is down.

Claiming benefits before full retirement age can permanently reduce your monthly benefit by up to 30%. This also means annual cost-of-living adjustments will be smaller over time.

Additionally, if you work while collecting early benefits, earnings limits may temporarily reduce payments, although these amounts will be credited back to you once you reach full retirement age.

By claiming early, you also potentially reduce the size of a survivor benefit for a spouse.

You need to weigh several factors before deciding when to claim Social Security, including your current health and life expectancy, marital status, work plans, and overall financial needs.

Waiting until age 70 maximizes the size of your monthly check but might mean relying longer on dipping into savings to make ends meet. Claiming earlier provides flexibility and may suit lower-income retirees, but it reduces the size of your monthly payout.

Use tools like the SSA's Social Security Quick Calculator and discuss scenarios with a financial planner so you can make the best decision.

The age at which you take Social Security — whether it's 62, 67, or 70 — comes with distinct trade-offs.

With average benefits rising from $1,342 at age 62 to $2,148 at age 70, even small adjustments in timing can mean big differences in the size of your monthly payout. Understanding these differences empowers you to make the choice that fits your goals and life circumstances.

By timing your claim wisely, you can optimize Social Security benefits and better enjoy retirement.