Reasons Why you have not to take your Social Security Benefit early Taking early your Social security Benefits sometimes have Disadvantage for Both sides Beneficiaries and to the Dependent ,This article will give several reasons to wait for your social security not Applying early.
Reasons not to take Social Security early
Here are 4 Strong Reasons to not taking Early your Social Security Benefits
Your Benefits Are Permanently Reduced
Claiming your benefits early means they will be reduced on a permanent basis. For example, as the table above illustrates, someone born in the 1960s or later who takes their benefits starting at age 62 will get 30% less each month for the rest of their lives than if they’d waited until their full retirement age of 67.2
Your Cost-of-Living Adjustments Will Be Smaller
In addition to receiving a smaller monthly benefit than if you’d waited until your full retirement age, you’ll get less on a dollar basis from any future Social Security cost-of-living adjustments (COLA). Beneficiaries are receiving a 3.2% increase in 2024 (the increase was 8.7% in 2023). Someone born between 1943 and 1954 who currently receives a full monthly benefit of $2,000, for example, will get an extra $64 each month.7
You’ll Be Penalized If You Work—Though It’s Temporary
Before you reach your full retirement age, any money you earn from a job can affect your Social Security benefits. In 2024, Social Security will deduct $1 from your benefits for each $2 you earn above $22,320 ($21,240 in 2023). If you turn your full retirement age in 2023 or 2024, it will deduct $1 from your benefits for each $3 you earn above $56,520 until your birthday month.8 Although you will get the money back later after you reach your full retirement age, you’ll have that much less to spend in the meantime.
Maximizing spousal benefits
If you’re married, you may want to consider how claiming Social Security early will affect your spousal benefits. First, when you file for retirement benefits, your spouse is typically eligible for a benefit based on your earnings, which can be half of your primary benefit amount — depending on your age at retirement. So, if your spouse begins receiving benefits before “normal (or full) retirement age,” they will receive a reduced benefit.
