44% of Americans Plan to Claim Social Security Before 67, Sacrificing Up to 30%

Q: Why do so many Americans claim Social Security at 62 when waiting until 70 could boost monthly checks by up to 77%?

Many Americans claim Social Security at 62 because the choice is driven less by poor math than by immediate financial pressure and uncertainty. Surveys from Schroders and AARP show the main reasons are needing income now for regular expenses, wanting access to money as soon as possible, poor health or shorter life expectancy, and fear that Social Security could face future cuts. That tradeoff is costly. For workers whose full retirement age is 67, claiming at 62 typically cuts monthly benefits by about 30% versus waiting until full retirement age. Waiting until 70 raises benefits through delayed retirement credits of about 8% a year after 67, making the monthly check as much as 77% higher than at 62. A worker eligible for $1,800 at 67 might get about $1,260 at 62 or about $2,232 at 70. Even so, many retirees cannot afford to wait. Social Security replaces only part of pre-retirement income, and the average annual benefit is roughly $25,000, so people with limited savings, debt, high living costs, or unexpected job loss often take the benefit as soon as they can. Some also prefer to preserve their retirement accounts rather than draw them down. Waiting often pays off for people who live into their late 70s, 80s or beyond, and it can also increase survivor benefits for a spouse. But experts say there is no universal best age. The right decision depends on health, work status, taxes, savings, and whether someone needs the cash flow immediately.

3 articles · Updated · Yahoo Finance · Sep 24

44% of nonretired Americans say they plan to start Social Security before age 67, even though claiming at 62 can cut monthly benefits by as much as 30%.
Financial need appears to be the main driver: advisers and Schroders' 2026 retirement survey say many people need income sooner, want immediate access, or fear the program may not pay in full later.
Delaying from full retirement age to 70 adds roughly 8% a year in delayed-retirement credits, yet only 10% expect to wait that long.
The pattern has barely changed—43% planned to claim before 67 in 2024 and 44% in 2025—even as more than half of workers worry about outliving their retirement savings.
Average Social Security retirement benefits are about $25,000 a year, underscoring why many households prioritize current cash needs over maximizing future checks.