This Popular Social Security Filing Strategy Could Backfire on Retirees
Filing for Social Security benefits at age 62 is a common choice for many retirees, as it allows them to access funds sooner, albeit with reduced monthly payments. While this strategy may be beneficial for some individuals with ample savings, it can be detrimental for those with limited retirement funds, potentially leading to financial strain in later years. Additionally, claiming benefits early may increase the risk of insufficient lifetime income for retirees with longer life expectancies.
- The decision to file for Social Security at 62 reflects a broader dilemma retirees face: balancing immediate financial needs against long-term financial security, which could reshape their retirement experience.
- What factors should retirees prioritize when deciding the optimal age to file for Social Security benefits?