Retirement Social Security

Why Taking Social Security at 62 Feels Safe - And Why It Often Isn’t

How your claiming age affects your benefit.

By Lee Huffman

Edited by Laura Hohenstein

Updated Jan. 6, 2026

For many people approaching retirement, claiming Social Security at age 62 feels like a smart choice. You get a guaranteed income now, rather than the prospect of a higher income at some point in the future. But tomorrow isn't promised to anyone, so it feels like starting your Social Security at 62 instead of waiting until age 67 is the safest choice.

While those feelings are understandable, claiming retirement benefits early can have long-lasting impacts on your retirement plan. Here's why taking Social Security at 62 feels safe, but can devastate your finances in retirement.

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How claiming age affects your benefit

Full retirement age for Social Security is age 67 for anyone born in 1960 or later. However, Social Security allows you to claim retirement benefits as early as 62 or as late as age 70. Aside from how much income you make over your lifetime, when you claim Social Security benefits has the largest impact on how much your benefit is.

When you claim Social Security before full retirement age, your monthly check is permanently reduced. For example, retirees born in 1960 or later who claim benefits at age 62 will have their monthly benefit permanently reduced by about 30%.

Claiming after full retirement age (up to age 70) increases your benefit up to 8% per year. If you file after age 70, you won't receive any additional increase for waiting longer.

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Smaller checks mean smaller cost-of-living adjustments

Another drawback that often surprises people is how early claiming affects future cost-of-living adjustments (COLAs). The annual COLA increase is the same for all retirees as a percentage, but the actual dollar increase in your monthly check will be lower if you claim benefits early.

Social Security COLAs are calculated as a percentage of your current benefit. That means someone receiving a smaller monthly check also receives smaller dollar increases when inflation adjustments are applied.

A 2% COLA adds:

$28 to a $1,400 benefit
$40 to a $2,000 benefit

Over the course of a year, the difference may seem minor. Just $144 in the example above. However, when you add up the difference over 20 to 30 years of retirement, it is substantial.

Working after 62 can complicate your situation

Many people claim Social Security at 62 because they plan to keep working part-time to earn extra income. These extra wages can both help and harm your Social Security benefits.

How working can reduce your benefits

If you claim Social Security before full retirement age and continue working, your benefits may be temporarily reduced due to the earnings test. Social Security reduces your monthly check by $1 for every $2 earned above that threshold. In the year you reach full retirement age, the reduction is $1 for every $3 you earn above the threshold until the month before you reach full retirement age. While those benefits aren't permanently lost, the reduced cash flow can catch early claimers off guard.

The earnings test no longer applies once you reach full retirement age.

How working can increase your benefits

Continuing to work in retirement can boost your Social Security benefits if you make more now than you did earlier in your career. Social Security uses the highest 35 years of your work history when calculating your benefits. So, if you can replace a lower-income year, or one with $0 income, with one that is higher, your benefits will recalculate based on the higher average.

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Longevity risk: The threat most people underestimate

One reason early claiming feels safe is the fear of dying before collecting benefits. The average life expectancy at birth in the U.S. is just over 78 years. But what many people don't realize is that life expectancy is higher when you reach retirement age. At age 67, men live an average of 16 more years (age 83), while women live an average of 18 more years (age 85). With medical advances, it is highly likely that these longevity numbers will only increase.

The breakeven point on waiting to collect Social Security benefits is around 78 years and 8 months. If you die before then, it makes sense to start collecting at age 62. Live past this age, and you've lost money by claiming benefits early.

Over a long retirement, the cumulative difference between early and later claiming can add up to tens or even hundreds of thousands of dollars. That gap becomes especially important later in life, when savings may be lower and guaranteed income matters more.

When claiming at 62 can make sense

Despite these drawbacks, claiming Social Security at 62 isn't always a bad decision.

It may be reasonable in situations such as:

Serious health concerns or reduced life expectancy
Limited savings and an immediate need for income
No spouse who would rely on survivor benefits
Inability to continue working

The key is that early claiming works best when it's a deliberate choice based on your personal finances, health, and other factors.

Bottom line

Claiming Social Security at 62 feels safe because it offers certainty in an uncertain time. While extra money in your pocket feels safe, you could be putting your later years of retirement in jeopardy. The breakeven point on collecting early is around 78 years and 8 months. If you live past this date, you're better off waiting to file for Social Security until your full retirement age.

Once you claim Social Security, the decision is largely irreversible, which is why you must consider all factors before filing. Examine your finances, evaluate your health, and look at your family tree. Consider withdrawing more from other retirement sources or working part-time to cover your bills. If you're in good health and your family tends to live longer, having larger Social Security checks because you waited will bolster your retirement income and make it easier to meet your monthly obligations.

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