Alert
Close

Take AARP’s Smart Driver course and you could save money on your car insurance. Learn more

Highlights

Open

Think You Know AARP Caribbean Cruise Sweepstakes
AARP Auto Buying Program

AARP-iPad-ePub-app

Most Popular
ARTICLES

Viewed

Free Fun!

AARP Games - Play Now!

Work
PROGRAMS

Best Employers for Workers Over 50

See the latest winners of this AARP recognition program.

Employer Resource Center

Attract and retain top talent in a changing workforce.

Social Security Mailbox

Taking an Early Benefit

Am I wrong to think I can make more money by investing it?

Q. I understand that a $750-a-month Social Security benefit taken at age 62 would be worth 33 percent more ($1,000) at age 66 and 76 percent more ($1,320) at age 70. But I'm going to take my benefit now at 62 because I figure I can invest my payments and make even more money. Is this bad logic?

See also: Best age to claim Social Security benefits.

A. When to begin benefits is always a bit of a guessing game — you're guessing how long you're going to live. But here are some facts to ponder:

  • If you start at 62, your check will be forever small.

  •  If you plan to keep working and you make more than $14,160 a year, some or all of your benefit will be withheld until you're 66, so you won't have that money to invest.

  • If you wait until 70, you'll get the highest possible benefit, an increase of about 8 percent a year from your full retirement age of 66.

Stan Hinden, a former columnist for the Washington Post, wrote How to Retire Happy: The 12 Most Important Decisions You Must Make Before You Retire. Have a question for the Social Security Mailbox? Check out the archive. If you don't find your answer there, send a query.

Topic Alerts

You can get weekly email alerts on the topics below. Just click “Follow.”

Manage Alerts

Processing

Please wait...

progress bar, please wait

Tell Us WhatYou Think

Please leave your comment below.

Jobs You Might Like

Discounts & Benefits

From companies that meet the high standards of service and quality set by AARP.

Woman sitting on sofa using laptop
membership adt

Small business owners save 20% on new installation of any new ADT security system.

Mujer en la parte de afuera de so negocio

Free quotes for members from the AARP® Small Business Insurance Program.

Member Benefits

Renew today! Members receive exclusive member benefits & affect social change.

Explore Your Learning Possiblities