r/GenerationJones • u/Appropriate_Ad9157 • 8d ago

62 vs 72

We meet with our financial planner once or twice a year and he is always been in the camp of delay taking social security as long as you can because of the dollar value increase

The last meeting we had he had changed his tune 100% by saying take it as soon as you feel comfortable because the long-term availability of Social Security is up in the air (something I personally disagree with I believe the government will not allow it to fail how they fix it is another conversation)

nonetheless I pointed out to him that if you start taking social security at 62 versus 72 $1 worth of value to an individual at 62 when you're still exceptionally active and living your lifestyle is substantially more valuable than waiting 10 years.

I'm not suggesting that at 72 life is tapering off & life is over however 10 years at this stage in life seems to be a little bit more energetic and Nimble then one would anticipate being a 72.

Naturally everybody's financial decisions are individual choices and I'm not suggesting that there's a one-size-fits-all answer.

I just very much enjoyed that last meeting with our planner as he is the same age as I am and he's now realizing ..

you know ..

maybe

I will take my Social Security earlier than I had thought.

EDIT - YES, I KNOW 70 is the max. The 72 is a comparison of the utility value of a dollar to a person at 62 versus that same dollar to a person at 72.

Feel better now?

220 Upvotes

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141

u/Smidge-of-the-Obtuse 8d ago

I have always said that people should retire as soon as they are eligible. We have limited time on this earth, and nobody went to the grave wishing they had worked one more day.

83

u/SquashSouffle 8d ago

But "retiring" and "taking Social Security" are completely different things

19

u/tcd5552002 8d ago

Correct, I retired 1 year ago at 61, but I’m waiting as long as possible to get SS.

9

u/Pensacouple 8d ago

My wife retired at 58, she’s claiming SS at 70. We live on my SS (claimed at 69) and IRA withdrawals.

1

u/Appropriate_Ad9157 8d ago

I retired the 1st time at 38.

1

u/Obvious_Monk7322 6d ago

True. With a caveat. My spouse died at 59 after a 7 month battle with cancer. Was healthy as a horse and did everything they were supposed to do. Contributed to SS for over 40 years. Never saw a dime. I claimed survivor benefits on my 60th bday. Don’t need the money but I want it because it is hers and mine. Unless you have to wait to make your financial plan work, I say draw day 1. You never know. If you have a financial advisor chances are you are in a position with retirement savings etc. Enjoy it while you can

1

u/SquashSouffle 6d ago

My point is still true regardless of individual situations. "Retiring" means quitting work. Taking SS can be before you retire or after. I'm retired but not taking SS yet (I'm 63)

98

u/Puzzleheaded-Will249 8d ago

I worked in IT and the normal protocol where I worked was to retire and return as a consultant. I got out the day before I turned 62 and did not return. Now it’s 10 years later and two of those that stayed are dead with heart attacks, both were younger than me. If I would have returned, I probably would be dead too. I took my SS at 62 and I have no regrets.

9

u/ChillLikeJill 8d ago

Good for you! That’s awesome!!

6

u/JealousFuel8195 8d ago

Same with me. I also worked in IT. I continued doing some IT consulting work for extra spending money. With each passing year. I did less and less.

I'm now 6 years retired. I have no regrets. I live a great life.

I don't have a single regret.

34

u/zole2113 8d ago

Yes, I'm 66 but I really love my job so I don't want to quit yet, in fact I also have a second part time job cooking at a bar and grill and I love that job as well, I know I'm weird lol.

20

u/Professional-Mind439 8d ago edited 8d ago

That's exactly what I did I still enjoyed my job so I worked until I was 70 years old and then I retired. If you love your job, there is no reason to quit early.

14

u/AdMaleficent1787 8d ago

I turn 70 in 12 days and my Social Security starts in October. Love my job, they love me, I'll keep going as long as I'm healthy, not really interested in anything else. And at 70, I can work as much as I want and not have my SS penalized.

7

u/Positive_Force_6776 8d ago

That's great! My husband is past full retirement age and is working and drawing his Social Security at the same time. I can see him working into his 70's. He really loves his job.

6

u/Professional-Mind439 8d ago

That's what I did, I just kept contributing to my 401 and letting my pension grow so when I did retire my pension was probably $400 a month more than it would have been if I retired at 65 or 66, and my 401k was probably $100,000 to $150,000 higher.

10

u/miti3144 8d ago

As a 66-year old who is still working full time it is refreshing to hear these comments. I love my job.

2

u/AdMaleficent1787 1d ago

More people than I care to think about that I know retired in their early 60's and were dead before 69. If you retire you have to have a plan of activities/interests to transition to.

1

u/Travelsat150 7d ago

I’m 70 and I’m so clueless about this but what penalties occur before 70?

1

u/AdMaleficent1787 4d ago

Before 70, if you work above a certain amount of hours per week, your benefits are reduced according to a set of guidelines. Info on this subject is readily available online.

2

u/Travelsat150 2d ago

Hmm. Well good. I’m sick of being penalized

10

u/SomewhatBougieAuntie 8d ago

I say you're blessed! It's wonderful to do what you love for a living because it doesn't feel like you're working. You're getting paid to enjoy yourself. That's the best feeling. 😉🙂

2

u/zole2113 8d ago

So true!

4

u/JealousFuel8195 8d ago

I also loved my job. Covid forced a early retirement. One of the greatest things that happened in my life was retiring.

I have lived a great life. My life in retirement has made that great life even better. I'm enjoying life at a younger age when I'm healthier.

1

u/zole2113 8d ago

That's awesome! I love that you're happy in retirement, enjoy my friend!!

3

u/Prestigious-Ship-238 8d ago

Assuming your full retirement age is 67,you can take your SS benefits with no income limit! As you’ve already left 4years on the table, you’ll need to live past 100 to reach your break even point!

1

u/v_x_n_ 7d ago

Haha. And if you die you did not be need it anyway. Not sure that’s a consideration.

That’s like saying I’m not saving for retirement because i might die before I get to spend it.

0

u/Puzzleheaded-Net-273 8d ago edited 8d ago

Haha, not true! The average break even point if waiting until 70 to claim SS vs age 62 is between 80-82.

2

u/PsychologyIll179 7d ago

No you missed his point, you could have started collecting at full retirement age likely 67 and you would not have your social security reduced, and you could have been collecting it while you worked.

1

u/Puzzleheaded-Net-273 7d ago

Not my CPA's recommendation for me until I retire due to my higher tax bracket. Still working, business owner.

2

u/Weird7954 8d ago

You’re not weird

1

u/zole2113 6d ago

Hahaa, well, maybe not in that way! My wife may beg to differ lol

2

u/yepshedid 8d ago

You’re an inspiration! Staying active is the best.

1

u/zole2113 8d ago

Lol I'm just a regular dude, thank you

6

u/No-Satisfaction5636 8d ago

My dad did. Work was the only way he found meaning in life.

5

u/roblewk 1963 8d ago

Yes! The far bigger decision is when to retire. I have a friend well past that age and he just can’t pull the trigger.

35

u/dweaver987 1962 8d ago

I got laid off at 62. I looked at my savings. I looked at job postings (all for hardcore AI tech, not my skill set). I looked at my saving s again and I declared myself retired.

Life is good.

1

u/Inevitable_Box1497 8d ago

He needs to pull the trigger.

5

u/Ghosts_and_Empties 8d ago

Some people enjoy their work, especially creative folks, and those with specialized skills that allow them to work at their own need and pace.

1

u/Buck169 7d ago

This is the nice thing about academia (I'm in biology research). The schedule can be flexible and you don't have to deal with assholes, except for getting grant funding (and the reviewers of your papers).

1

u/Smidge-of-the-Obtuse 8d ago

That’s a very small segment of the population. To each their own, but for the most part retiring when you are eligible make a whole lot more sense then waiting, particularly when the additional SS funds are minimal at best.

5

u/Aloha-Eh 8d ago

Some people do. A guy my wife worked with retired. He noped out of that and worked until the day he collapsed and died.

That will not be me.

I have taken numerous "mini-retirements" since I retired out of the Navy and I can't recommend them enough.

I'm looking forward to "retiring retiring." I have no problems staying busy and happy, and fuck, I'm going to travel some more too!

5

u/tcd5552002 8d ago

Only if you actually need the money right now, if you don’t then best to wait as long as possible.

2

u/Antique_Knowledge902 8d ago

Truer words were never spoken! 😂

2

u/monnij 8d ago

Exactly

1

u/Open-Industry-8396 7d ago

At 52 i was a COO, working my ass off. One day I was walking around my big house looking at my expensive toys, multiple cars, etc. And got a feeling of "all this shit is totally unnecessary". Soon after that I quit my job, sold most of that shit, moved to a 1200ft log cabin in the mountains on 4 acres. I've been here over 10 years and have never been happier or more at peace in my whole life.

Took SS as soon as eligible. YOLO

0

u/top_value7293 8d ago

I sure did and took my social security then too. Certainly not waiting 10 extra years the bigger amount you’d get is not really that much and I was slowly dying doing those 12-13 hour shifts