social security
2 questions
- Finance
What is Social Security and how does it work?
Social Security is a federal program that pays monthly retirement income to workers who have accumulated at least 40 credits (roughly 10 years of work). Your benefit amount is based on your highest 35 years of earnings — you can claim as early as 62 (reduced benefit) or as late as 70 (maximum benefit). The longer you wait, the larger your monthly check.
- Finance
When should I claim Social Security?
Claiming at 62 reduces your benefit by up to 30% permanently. Waiting until 70 increases it by 24% above your full retirement age benefit. The decision hinges on health, life expectancy, other income sources, and spousal strategy — not a single right answer.