Why do so many people claim Social Security benefits at 62 years of age, you might ask?
For those who have made that decision, the answer can attract many negative opinions. Some may feel hesitant to admit that they claimed at 62 or are planning to do so. It could be a source of embarrassment for some, especially because others in their age group might view it as a foolish decision.
Nevertheless, if you claim “early,” you are not alone. In fact, this is the case for approximately 40% to 45% of Americans, based on Social Security statistics. But does that imply that these retirees are unintelligent or incapable of heeding the advice of financial advisors, who typically suggest waiting before collecting benefits? Certainly not.
They are individuals who rely on themselves and are capable of making sound decisions, regardless of the popular recommendation.
In this article, I’ll list 5 smart reasons to claim Social Security benefits at 62.
5 smart reasons people claim SS benefits at 62.
Individuals often claim Social Security benefits at 62 for various reasons, and it’s not due to fears of losing benefits. Many face immediate financial needs, such as living expenses, healthcare costs, or debt repayment. Others wish to enjoy retirement while in good health. Personal situations, like job changes or a desire to spend time with family, also influence this decision. Ultimately, the choice to claim early benefits is shaped by individual financial, health, and lifestyle factors.
For most, the pursuit of happiness and personal circumstance is what drives their decision to do so.
No. 1 – Financial Flexibility and Investing in Yourself – Financial flexibility allows for control of resources and doing more with your money. Claiming benefits at 62 allows people to manage their income to meet personal goals while investing in themselves.
No. 2 – Health – Individuals with health problems or those predisposed by family history or genetic factors often claim benefits at 62. For many years, they’ve worked hard and paid into the system. After carefully considering life expectancy, they want what belongs to them before they die.
No. 3 – Maximize Lifetime Benefits – After analyzing the numbers, they concluded that delaying the claim of Social Security benefits would result in a loss of thousands of dollars. In their wisdom, they decided to take the money and invest in themselves. This choice allowed them to create revenue streams that continued even into their old age, securing their financial future.
No. 4 – Lack of Job Satisfaction -There’s more to life than a job. It’s not uncommon for people to say they hate their jobs and are looking for the earliest opportunity to call it quits and retire. They want to pursue their passions and enjoy time with family and friends.
No. 5 – Work and Earn – Social Security allows individuals to work while receiving benefits. There are earnings limits for those under full retirement age. However, claiming benefits at 62 and working part-time is a viable option that aligns circumstances with financial goals.
Read: Is it Better to Take Social Security at 62, or Wait [Do the Math]
John. Q. Public answers “Why do so many people claim Social Security at 62?”
These embeds come from Quora. They give intelligent and valid reasons for claiming Social Security benefits at 62. (A couple of the respondents claimed at 63.)
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Smart Reasons to Collect at 62 Video
Conclusion
Although approximately 45% of Americans claim their Social Security benefits at 62, many are reluctant to admit it because of peer pressure and negative opinions.
The choice to claim Social Security benefits early is valid and often based on good reasons. Nearly half of Americans choose to file for these benefits at age 62, whether due to health issues, dissatisfaction with their job, or a desire to utilize their funds differently.
Ultimately, your decision on whether to claim benefits at 62, 63, or at full retirement age should be guided by your personal circumstances. Remember, it’s your decision—not your financial advisor’s.
Last updated: 07/05/23
Related Articles You May Like:
- Should I Claim Social Security at 62 or Wait (Do the Math)
- What is a Self-Reliant Retiree?
- Are You Afraid to Retire? If You Are, You Must Conquer Peer Pressure
Did you claim Social Security benefits at 62? Please feel free to comment below! And before you go, please take a moment to subscribe to our newsletter, and like us on Facebook!
My husband and I both elected to take SocSec
at 62. We wanted our money back to invest as we saw fit. Also, we weren’t confident that the funds we be available if we waited until 65 or later. I am now 75 and single and I would still make the same decision.
Hi Janette! I love hearing from people who understand that Social Security is their money. Thanks for sharing your insight! All the best to you!
~Marlene, Yoga Woman