When Should You Start Taking Social Security?

You can start receiving benefits at age 62 but the benefits are reduced by 25% of what you would get at your full retirement age (ages 65 through 67 depending on when you were born). Also if you wait until  after your full retirement age you get an 8% benefit for each year you wait until age 70. For example for those born between 1943 and 1954, waiting until age 70 gives you 32% more benefits for life. Another advantage to waiting is that your social security benefit is calculated using your highest earnings for a 35 year period. If you have high wage years after age 62, you can replace lower earning years early in your career and your calculated benefit will be higher. My feeling is if you are in reasonable health and don't currently need the extra funds, wait until age 70 to start receiving social security.