You can wait until you’re 70 to claim Social Security benefits, and you can significantly increase your payments. But whether that’s the right move largely hinges on your life expectancy.
When it comes to retirement, not many things are guaranteed. One of the few certainties is receiving a monthly Social Security check—this holds true even if retirement is a couple of decades away.
While those monthly payments are pretty much assured, the total amount isn’t fixed. It really depends on a mix of factors, including decisions we make while working and when we decide to start collecting benefits. Unfortunately, many of us aren’t fully aware of all our options, which can lead to missed chances for maximizing our benefits.
Interestingly, there’s one strategy that could significantly boost Social Security benefits, but only about 10% of people actually take advantage of it. It might not suit everyone, but it could be the key to getting the largest possible payment.
Consider waiting until age 70 to claim Social Security
You may already know that how much you earn during your working years influences your Social Security payments. If your earnings exceed the taxable wage base—set at $176,100 for 2025—you may see some reduction in your benefits. But that isn’t the only thing affecting your monthly checks.
The age at which you claim your benefits matters too. While you can start receiving payments at 62, doing so early might mean you’re penalized with reduced monthly benefits, maybe by up to 30%. If you want to avoid that reduction, you’d want to apply at your Full Retirement Age (FRA), which for those born after 1960 is 67. Some may have slightly lower ages depending on when they were born.
There’s an option to delay claiming your benefits even longer. If you wait until age 70, your monthly payment can grow significantly, adding about 8% for each year you defer claiming.
For example, if you’re eligible for $2,000 a month at 62, waiting until 70 could bring that up to $3,543. And this doesn’t even factor in the Cost of Living Adjustments (COLAs), so the actual amount at 70 could be even higher.
Research from the National Economic Research Bureau indicates that over 90% of Americans would stand to get the best lifetime benefits by waiting until 70 to apply. Yet, only about 10% actually do. The reasons here can be pretty complex.
Why aren’t more people waiting until 70 to claim Social Security?
Generally, there are two primary reasons many opt to take Social Security before they turn 70, even if that leads to lesser lifelong benefits.
1. They can’t afford to wait
Many people simply can’t afford to hold off until they’re 70, especially if they haven’t saved as much as they had hoped during their working years. If you weigh the prospect of long-term benefits against the pressing need to cover living expenses, taking reduced benefits might seem like the lesser of two evils.
If maximizing your Social Security benefits concerns you, but you feel vulnerable financially, it might be worth considering a delay in your retirement until you’re financially ready to apply. Alternatively, you could explore ways to boost your savings now, if that’s feasible.
And if waiting till 70 isn’t on the cards, maybe consider delaying your application for a few months or even a few years; this can still offer a more meaningful increase in your monthly benefit.
2. They have a shorter life expectancy
Individuals with a shorter expected lifespan may find it makes more sense to claim benefits earlier instead of waiting until 70. This can be particularly relevant for people with serious health issues or a troubling family health history.
If you do opt for early claiming, it’s worth noting that your spouse might still benefit from your Social Security after you’re gone. If you’re concerned about leaving your spouse without adequate support, it could be strategic to avoid claiming benefits early, allowing them to accrue more for future needs.
Estimating your life expectancy and plotting your retirement finances can feel overwhelming, especially when determining the best time to claim benefits. But keep this in mind: if your situation changes—like your health or finances—you can still adjust when you plan to apply for benefits.
